New laws in 2011-Is your business prepared?

The California Chamber of Commerce has released a list of new laws that have taken effect or will take effect in 2011 (see www.calchamber.com). Small businesses should take note of new changes that affect them and start preparing to implement the changes.

Changes in the Workers Compensation Notice Posters.

All businesses with employee's are required to place the workers compensation notice and requirements posters in an area that is accessible to all employee's. There have been changes to the information on the poster from 2010. California employer's can order new posters at www.calchamberstore.com/kit.

Managed Professional Networks

Employer's with managed professional networks are required to add information about their network to all notice posters.

Roofing Contractors Must Have Workers Compensation Insurance

The requirement that roofing contractors purchase and maintain workers compensation insurance even if they do not have employees was set to expire on January 1, 2011. The requirement has been extended until January 1, 2013. All roofing contractors with a C-39 license must obtain and maintain the insurance or face the consequence of having their license suspended.

Good Deed Now Costs Employer's

Any employer with fifteen or more employee's must now provide paid leave of absence for any employee who donates an organ. The leave is for thirty workdays per each year. Any employee that donates bone marrow shall be given five workdays paid leave each year marrow is donated.

GINA is official.

The Genetic Information Nondiscrimination Act of 2008 is now in effect. Each employer with 15 or more employee's is prohibited from requesting an applicant or employee disclose genetic information. The employers are prohibited from using genetic information regarding health insurance decisions or other employment decisions. Employer's are also prohibited from the acquisition and disclosure of any prohibited genetic information.

It's more expensive to appeal a wage claim.

Employer's who wish to appeal a wage claim decision must now post a bond in the amount of the judgment. Under AB2722 any unpaid wage claim decision that an employer wishes to appeal will cost the employer the amount of the judgment-posted in a bond before the appeal can be heard.

The good news for self employment taxes

Self employment taxes have been cut for 2011. Check with your accountant or the IRS for more information and for information on how much you will benefit; especially those paying quarterly taxes. In addition the social security portion of self employment taxes has been cut for 2011 from 12.4% to 10.4%. The taxes will return to normal in January of 2012.

It's time to purchase new business assets

The Bonus Depreciation has been increased to 100% for 2011!!! You can now take 100% depresiation on business assets purchased in 2011. The depreciation returns to 50% in 2012.

More forms for the IRS

Starting in January 2011 businesses must file IRS form 1099 for any business to business transactions for goods or services that exceed $600.00. Small businesses that do not already track information should prepare now for how they will keep track of the names, addresses and taxpayer ID numbers of each vendor they do business with.