News and Analysis
- Ohio’s unemployment insurance tax rates will range from 0.3% to 9.8% in 2023, according to this update from the Department of Job and Family Services.
- Ohio Tax Commissioner Jeff McClain announced this week that he is retiring effective Dec. 31.
- With the midterms over, the Tax Foundation has published this outlook for federal tax policy.
- There’s still time for eligible employers to claim the federal Employee Retention Credit on amended payroll returns, according to OMA Connections Partner CliftonLarsonAllen.
- OMA Connections Partner Barnes Dennig has published this chart outlining key provisions of the federal Inflation Reduction Act, including the Advanced Manufacturing Production Credit.
- Kiplinger has summarized the Inflation Reduction Act’s electrical vehicle-related tax credits, including the law’s EV sourcing and manufacturing requirements.
- OMA Connections Partner Plante Moran has published this guidance on using R&D payroll tax credits to maximize savings.
Meanwhile, OMA Connections Partner GBQ Partners has published its recommendations on what to do if your CFO or controller leaves. 12/1/2022
OMA Connections Partner HBK has published a recap of its Nov. 16 tax-planning webinar for manufacturers. The summary includes key takeaways regarding business deductions; R&D tax credits; and payroll tax credits. Read the summary or watch the recorded webinar. 11/22/2022
On Dec. 14, the international tax experts at OMA Connections Partner Barnes Dennig will host a complimentary webinar to help businesses prepare for 2023. Among the issues that will be covered are global mergers and acquisitions, as well as recruiting and retention strategies. Learn more and register. 11/22/2022
The producer price index (PPI) rose 0.2% in October, below the 0.4% estimate. On a year-over-year basis, the PPI rose 8% compared to an 8.4% increase in September, according to federal data. While inflation is still high, this marks the fourth straight decline in the PPI. 11/15/2022
In its Real Economy Blog, OMA Connections Partner RSM says it expects the Federal Reserve to raise the federal funds rate above 5% in the near term. (It currently sits at between 3.75% to 4%.) RSM anticipates “years of higher-than-normal inflation.”
The Fed is likely to implement a 50-basis-point increase at its December meeting, with 25-basis-point increases in early February and mid-March, according to Chad Moutray, chief economist for the National Association of Manufacturers. 11/15/2022
The National Association of Manufacturers is urging Congress to approve key tax incentives for manufacturers in a year-end package, including the reversal of a harmful change in the treatment of R&D expenses that took effect earlier this year and an extension of 100% bonus depreciation. The tax provisions lead the NAM’s list of post-election priorities. 11/17/2022
Several OMA Connections Partners are offering year-end webinars to provide tax guidance to businesses, including the following:
- Nov. 29, Plante Moran: Business tax planning in an uncertain market;
- Dec. 1, Plante Moran: Audit and accounting standards, trends, and reminders;
- Dec. 1, Schneider Downs: Federal and state tax update;
- Dec. 7, GBQ Partners: Year-end business tax update; and
- Dec. 7, Clark Schaefer Hackett: Year-end tax planning.
The October consumer price index, which rose by 0.4% on the month and by 7.7% from a year ago, supports calls that the Federal Reserve may slow the pace of its rate hikes, according to OMA Connections Partner RSM.
OMA members are invited to participate in RSM’s Nov. 29 economic outlook webcast, which will provide insights on matters affecting middle market businesses, including inflation.
For an in-depth look at the macro-economic forces impacting middle market businesses, check out the latest issue of RSM’s The Real Economy. 11/9/2022
The State of Ohio continues to experience higher-than-expected tax revenues, continuing a trend that started prior to the pandemic. In October, the state’s general fund collected $111.6 million above the official forecast — driven primarily by personal income tax and non-auto sales tax collections. 11/8/2022
- Some 72.5 million U.S. households (40%) will pay no federal income tax this year, reports say — down from the pre-pandemic high of 60% two years ago, according to new estimates.
- Nearly two-thirds of registered U.S. voters believe the economy is currently in a recession, according to a new Politico-Morning Consult poll.
- Ohioans’ total taxable income increased $156.43 billion (72.2%) from 1999 to 2019, according to this infographic recently published by the Ohio Legislative Service Commission.
- The Buckeye Institute, a conservative think tank, has filed its reply brief with the Supreme Court of Ohio in one of five cases challenging the state’s COVID-19 law addressing local income tax withholdings for remote workers.
- In this insight, OMA Connections Partner Clark Schaefer Hackett provides guidance for businesses that amortize expenses for research and experimentation following recent Section 174 changes.
- OMA Connections Partner CliftonLarsonAllen has published this case study on how one manufacturer was granted $2.2 million in tax savings for its new facilities.
Members should note that OMA Connections Partner RSM will host a Nov. 10 webinar to review how the midterm election might impact the direction of federal and state tax policy for the next two years. Register here. 11/3/2022