We strive to provide clients with advice, expertise and support to help them grow so we are particularly pleased to recognize four clients that have been named to Inc. magazine’s 2013 list of the 5,000 fastest-growing companies in the nation. They are:

• Quantum Health – #53 among Top 100 Ohio Companies, Five-Time Inc. 5000 Honoree, #1,692 in nation

• Portfolio Creative LLC – #74 among Top 100 Ohio Companies, #18 in Columbus, Ohio Metro, Five-Time Inc. 5000 Honoree, #91 among Top 100 Human Resources Companies in nation, #2,294 in nation

• Mosaic Design Studio – #83 among Top 100 Ohio Companies, #21 in Columbus, Ohio Metro, #2,574 in nation

• Oxford Consulting Group, Inc. – #109 among Ohio Companies, #26 in Columbus, Ohio Metro, #3,245 in nation

The ranking measures revenue and staff growth from 2009-2012. This year’s rankings are published in the September issue of Inc.  Click here to view the full list.

In addition, two of these companies, Oxford Consulting Group and Portfolio Creative, were named to the Columbus Business First Fast 50 in 2013. Companies were ranked based on three years of revenue growth. Nominees had to be private companies based in central Ohio with at least $1 million in annual sales each of the last three years. They will be honored at the 18th annual luncheon on October 10.

Since 2010 a tax credit has been available for certain small employers providing health insurance coverage for their employees. For the first three years the maximum credit amounts remained the same. Starting in 2014 the amount of the credit increases.

Included in the Affordable Care Act enacted in March 2010, the small business health care tax credit was designed to encourage both small businesses and small tax-exempt organizations to offer health insurance coverage to their employees for the first time or to maintain coverage they already have.

In general, the credit is available to small employers that pay at least half of the premiums for single health insurance coverage for their employees. It is specifically targeted to help small businesses and tax-exempt organizations that primarily employ moderate- and lower-income workers.

For tax years 2010 to 2013, the maximum credit was 35 percent of premiums paid by eligible small businesses and 25 percent of premiums paid by eligible tax-exempt organizations.

Beginning in 2014, the maximum tax credit will increase to 50 percent of premiums paid by eligible small business employers and 35 percent of premiums paid by eligible tax-exempt organizations, but only if employers select from qualified plans through a Small Business Health Options Program (SHOP) Marketplace.

The maximum credit goes to smaller employers –– those with 10 or fewer full-time equivalent (FTE) employees –– paying annual average wages of $25,000 or less. The credit is completely phased out for employers that have 25 or more FTEs or that pay average wages of $50,000 or more per year.

Because the eligibility rules are based in part on the number of FTEs, not the number of employees, employers that use part-time workers may qualify even if they employ more than 25 individuals.

For additional details about the tax credit changes, CLICK HERE.

In Ohio, the federal government is running the health insurance Marketplace, and small-business owners in the state can now start shopping for employee health insurance. Open enrollment began October 1 for coverage beginning January 1.

Although the Ohio Department of Insurance approved rate filings for six insurers in the small-group market of the exchange, only two are marketing plans statewide: Anthem Blue Cross and Blue Shield in Ohio and Medical Mutual of Ohio. The other four plans are affiliated with regional hospital systems, not in the central Ohio region.

Anthem is offering seven plans ranging from the ACA defined bronze level to the gold level with lower out-of-pocket costs. Medical Mutual is offering two plans, one silver and one gold. Both sell group insurance off the exchange for businesses that don’t qualify for the credits.

For more information about the credit and how it might apply to your business or organization, contact your Whalen tax adviser.

In response to the U.S. Supreme Court’s June decision regarding same-sex marriage, the IRS recently clarified that married same-sex couples will be treated as married for all federal tax provisions in which marriage is a factor, such as filing status, dependent exemptions and child credits, and gift and estate tax breaks.

Significantly, the Supreme Court decision extended federal marriage-related benefits only to same-sex married couples in states recognizing their union; the IRS ruling expands eligibility for marriage-related federal tax benefits to same-sex married couples in all states, as long as they were married in a jurisdiction recognizing their marriage.

In light of the ruling, same-sex married couples should:

• Evaluate how changing their filing status to “married” will affect their 2013 tax liability, and factor that into their year end tax planning
• Determine whether they can receive a tax refund for previous years if they file amended returns as a married couple
• Decide whether any changes to their estate plans are warranted to take advantage of the federal gift and estate tax benefits available to married couples

These are only some of the tax areas requiring attention. Please contact us for more information on the impact of the IRS ruling.

This ruling will also require employers to make significant changes to their benefit programs.  We will be hosting a workshop on October 9, which will help to clarify how this ruling will affect your business and employees.  Click here to register for this workshop.

 

SharedWork Ohio, a legislative initiative designed to help employers and workers by preventing layoffs, went into effect in mid-July. The law gives employers the ability to reduce the number of hours worked by employees in lieu of layoffs, and employees can collect federally funded unemployment benefits to help cover the loss of the hours.

Sponsored by Representatives Mike Duffey, R-Worthington, and Gary Scherer, CPA, R-Circleville, the law provides Ohio employers with a new tool to keep their workforce intact during downturns. This new flexibility will help employers avoid costly rehiring and retraining when demand returns. At the same time, employees will be able to keep working and retain their health and retirement benefits.

Half the states and the District of Columbia have enacted shared-work policies. Ohio’s version contains a benefit for employers not available in other states: it provides that employers opting for the shared-work approach can avoid a major increase in their unemployment insurances premium rates.

The Ohio Department of Job and Family Services will administer and promote the program. Employers wishing to participate in the program must submit a plan to the department.  The plan must include, among other things, a description of the manner in which the employer will implement the requirements of the program, as well as a proposed reduction percentage that must be between ten percent and fifty percent.

Employees of participating employers will not be required to meet the ability to work, availability for work and work-search requirements applicable to standard unemployment benefits in order to receive shared-work compensation. The plan cannot be applied to seasonal, temporary or intermittent employees.

The state can draw on $3.7 million in federal funds to cover startup costs, and the federal government will cover nearly all of the costs for unemployment benefits through August 2015.

A number of Whalen’s clients are actively involved in industry groups associated with their business. Leadership in these organizations is an indicator of the quality of the management of these companies and their commitment to excellence and continuous improvement.

We’re delighted to recognize Bret Bordner, vice president of Laser Reproductions, who has been elected president of the 2014 Additive Manufacturing Users Group (AMUG) board of directors. This will be Bret’s third year serving on the AMUG board. In 2011 he held the position of secretary and 2012 he held the position of co-vice-president.

Laser Reproductions is a leading provider of rapid prototyping, manufacturing, product development and stereolithography services to industrial design firms, original equipment manufacturers, inventors and architects. By combining today’s leading processes, a vast production capacity and the company’s expertise in design engineering, Laser Reproductions delivers innovative solutions that rapidly bring ideas to life. Full-service capabilities include today’s leading rapid prototyping processes and tooling and manufacturing services.

AMUG educates and supports users of all additive manufacturing technologies. Members from all over the world are focused in advancing additive manufacturing technology for rapid manufacturing and prototyping.