Important New Jersey Tax Update

Good afternoon,

We would like to take a moment to remind you of two important things happening in New Jersey relative to your business.  You are receiving this email  because we believe one or both of these situations may apply to you.

NJ’s New Paid Sick Leave Act

If you have a payroll processing company, please contact them to make sure you are complaint with this new law which became effective last week on October 29, 2018.

For those of your processing your payroll in house, please take the time to become very familiar with the law to make sure you are compliant.  I have outlined some major points here, but please call us with any questions or concerns.

  • ALL employees, including seasonal, part-time, and on call are covered by the law.
  • You must provide a total of 40 hours of earned sick leave every benefit year.
  • Earned sick leave is accrued at the rate of 1 hours for every 30 hours worked.  Documentation of accrual and use is required to be kept for 5 years.
  • Earned sick leave accrued under the new law can be used 120 days after you begin employment (starting 120 days from Oct 29, 2018)
  • No adverse consequence may be taken on an employee for use of the earned sick time.  Documentation can only be required after three or more consecutive days of use.  If an employee is reinstated within six months, their prior accrued sick time is restored.

To do:

  • Employees must be notified by November 29th, 2018 and notice must be posted (notice attached for your convenience.
  • Update your policy to identify your benefit year, establish blackout dates, increments of use, and carryover treatment.  This would also be a great time to update your policies in light of other current events related to employee treatment and discrimination.
  • Review new policies & record keeping procedures with employees, management for compliance.
  • NJ Required Poster Link: https://nj.gov/labor/lwdhome/content/employerpacketforms.html

2018 NJ Tax Amnesty Program – Sales, Use, Litter, Hotel, Gross Income Taxes

The start date of the 2018 NJ Tax Amnesty program is to be released soon.  This program allows for delinquent or under-reported New Jersey taxes to be filed and paid in full with reduction of penalty and half the interest.  Eligible period cover return liabilities from 2/1/2009-9/1/2017. The program will end by January 15, 2019. An additional 5% non-abatable penalty will be imposed on any eligible debts not resolved during the Amnesty period.

Some restrictions apply, see NJ information Link Here: https://www.state.nj.us/treasury/taxation/amnesty.shtml

Please feel free to contact us with any questions and refer us to anyone else you may know that will be effected by these New Jersey current events.