IRS Sample 226J Letters: The IRS has revealed guidance on its plans to issue penalty notices by the end of this year to Applicable Large Employers (ALEs) it believes were not in compliance with the requirements of the Affordable Care Act. The IRS penalty process for the 2015 ACA reporting year is currently underway and for information regarding the employer notice, Letter 226J, click here.
FLSA Overtime Update: On November 6, the 5th Circuit Court of Appeals granted a DOL motion to halt litigation over the 2016 overtime rule. This motion makes it very unlikely that the salary threshold increase will ever take effect. While the court acknowledged the department’s authority to impose a salary threshold, it held that the department had exceeded its authority by setting a minimum salary level so high. For more analysis of the court’s ruling, click here.