Now we have some tax legislation coming out of Washington that makes sense, thanks to Rep. James Himes (D-CT), which would make it easier for companies to employ telecommuters from out of state by removing the tax penalties these employees currently face.
The bill sponsored by Himes eliminates the so-called “convenience of the employer” rule that leads to double taxation on the employee’s wages. Under the current system, when an employee is telecommuting for a company in another state—say he lives in Illinois but the company he works for is in New York, both states with income taxes—both states are entitled to tax that telecommuter on 100% of his income derived from that job. There is no distinction between the income made during visits to the employer and that made strictly at home. It is all taxable by both states as long as the telecommuting is for the “convenience” of telecommuter (such as the “convenience” of having the job in the... [Read Full Article]
Government and Economy
Ledbetter Wage Bill Passes Senate
The Lilly Ledbetter Bill, a wage discrimination bill that presages the pro-labor stance of the Democratic-controlled Congress and White House, has cleared the Senate and could be signed by President Obama within days.
Unions vs. Business: An Early Test for Obama
President Obama is facing an early important test—card-check—the Employee Free Choice Act. It is a key goal for Labor, which is hoping for action this spring; but that has some other Obama allies—seeing the reaction of business interests—very wor... [Read Full Article]
Government and Economy
Obama Team to Broaden BailoutPresident-elect Barack Obama's economic team is broadening the mission of the $700 billion bailout for the financial sector, aiming to unfreeze credit for homeowners, consumers, small businesses and local governments.
Frank Offers New Terms for Release of Bailout FundsRepresentative Barney Frank expects the House to act soon to impose conditions on the release of new bailout funds, mandating that at least $50 billion should be used to help avoid foreclosures.
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