2010 Payroll Taxes Every year, we send our clients a letter summarizing the payroll tax provisions that may affect their business. We welcome you to download  our 2010 Annual Payroll Letter.  It highlights important tax law changes and provides an overview of the complicated filing and reporting requirements. Please review the information it provides then please call us with any questions you may have about these or other tax matters. Also, please feel free to download these frequently used forms as needed:   2010 FORMS 2010 Form W4 Federal Withholding Certificate 2010 Form MI-W4 Michigan Withholding Certificate 2010 Form I-9 Employment Eligibility Verification Form 2010 Form I-9 Handbook for Employers 2010 School District Income Tax Rates 2010 Form IT-4 Ohio Withholding Certificate  2010 Form  W-9 Request for Taxpayer ID (for subcontractors)      BWC - $15,000 Medical Only Plan / Medicare Secondary Payer (MSP) Mandatory   Reporting – In short, the bottom line is that employers participating in the $15,000 Medical Only Plan for workers compensation purposes are going to be required to report payments of medical expenses that have been made on behalf of any worker that receives Medicare benefits to the Centers for Medicare and Medicaid Services (CMS).    The Bureau of Workers’ Compensation mailed out bulletins in 2008 regarding this subject to its policy holders for informational purposes only.  This act, and its subsequent enforcement, is actually totally under the control of the CMS.  Therefore, the Bureau of Workers Compensation is unable to assist with any questions an employer would have regarding this requirement.   Employers participating in the medical plan that do not comply with reporting requirements established by the CMS can be fined up to $1,000 per claim, per day.   According to the timeline posted on the CMS’s official website dated May 12, 2009, the registration process for compliance with these filing requirements has already begun.  The “Claim Input File” testing period is scheduled to run from January 1 – March 31, 2010 and the mandatory reporting of qualified payments is scheduled to begin after that time frame.   If you have not already done so, and you participate in the $15,000 Medical Only Plan, our recommendation is that you contact your third-party administrator for group rating purposes (TPA) to determine what services they are currently providing to their clients to assist them in complying with this requirement.  Some TPA’s have chosen to outsource this service to another provider at an additional fee to the employer, some are choosing to provide assistance directly under your current contract, and others may leave a customer only the option of registering and reporting this information on their own.     FICA WAGE BASE   To better serve you, we have added the table below for the Social Security Taxable Wage Base.  If you have any questions regarding this information, please contact Jackie Roberts at ext. 113.          SOCIAL SECURITY INFORMATION - Revised December 2009                       Taxable   Maximum Taxable   Maximum Self       Social Security Rate Social Security Medicare Rate Medicare Employ- Under Full Full   Wage Base of (OASDI) Wage Base of (HI) ment Retirement Retirement Year (OASDI) W/H W/H (HI) W/H W/H Rate Age Age                     2006     94,200.00 6.20    5,840.40 None 1.45 Unlimited 15.30 12,480 Unlimited                     2007     97,500.00 6.20    6,045.00 None 1.45 Unlimited 15.30 12,960 Unlimited                     2008    102,000.00 6.20    6,324.00 None 1.45 Unlimited 15.30 13,560 Unlimited                     2009    106,800.00 6.20    6,621.60 None 1.45 Unlimited 15.30 14,160 Unlimited                     2010      106,800.00 6.20     6,621.60 None 1.45 Unlimited 15.30 14,160 Unlimited