Tax Compliance and Upkeep with Industry Software 

Understanding tax compliance can be difficult for any business, especially security and cleaning companies that have to work with tight budgets that offer little wiggle room to pay hefty fines, but tools are available that offer valuable support on where and how to register, collect, and report taxes to avoid liability concerns. 

The specific process of filing taxes can be unique for every business, though common pitfalls remain the same. Late filing and underpayment of taxes are common issues that are avoidable. Oftentimes, these issues occur because of poorly kept records and disorganized processes, which can lead to harsh penalties and crippling fines from the federal government. 

Another huge issue that many business owners face involves changes to existing laws, regulations and policies that can have a major impact on tax preparation. However, industry software can help with tax compliance, in addition to reviewing common pitfalls to avoid. 

Tax software and compliance

W-2 Print Services 

With integrated tax software tools, the appropriate personnel must simply prepare the W-2s within the system, create the PDF files and send them to their software provider.  

1095-C Print Service & 1094-C Electronic Filing Service

Industry software providers that manage tax compliance in terms of insurance benefits can use their integrated systems to provide a service to business owners who need support with printing and mailing postmarked 1095-C forms to employees. A software company with integrated tax software tools can also perform electronic filing for Form 1094-C by the tax deadline. 

Insurance benefits module 

An insurance benefits module is a service designed to free up key company resources while ensuring tax compliance with filing requirements and deadlines. This kind of service lets companies use a tax software system to perform some of the work and create the forms at year-end. Industry software with an insurance benefits module can help companies: 

• Track enrollments, pull reports and sync employee deductions 
• Set up and manage multiple complex benefit plans and create multiple pricing and eligibility models based on those different plans 
• Easily test employee eligibility, validate the benefit packages and set up online enrollment for employees 

Insurance benefits upkeep 

While employers that offer insurance benefits are typically responsible for the upkeep, the right integrated software solution will offer a tool that frees critical administrative hours. 

An insurance benefits upkeep service can aid by enrolling or removing employees from benefits packages, determining which employees are eligible for benefits, using automated tools for enrollment or removal from enrollment of benefits, reviewing insurance benefits on a quarterly basis and reviewing the annual ACA Health Check for preparation of ACA reporting. 

Integrated software with an insurance benefits program can also aid companies by giving workers back their administrative time, which can then be focused on other business needs. It ensures that a company stays compliant and up to date on ever-changing laws related to tax compliance to alleviate end-of-the-year stress. 

Industry software with insurance upkeep services can also capture employee changes. It can assign proper benefits packages throughout the year, which will then reflect on the 1095-C forms. The ACA Health Check at year-end can ensure that the setup is correct. It also helps a company with insurance benefit enrollment, both initially and with tracking eligibility.

ACA service benefits

ACA service benefits can aid a company utilizing an insurance benefits module. It will support creating the 1095-C forms for employees and generate the e-file for the IRS. This service eliminates manual labor and potential human errors. These problems can occur when a company acts alone in sending forms to employees by the federal deadline.

A software company offering ACA service benefits can e-file on behalf of the employer. Companies can eliminate worrying about completing the registration process with the IRS. The right software company will also hire specialists who are well-versed in filing and understand the process. 

TEAM Software tax compliance resources

The Internal Revenue Service reports that billions are collected each year from taxpayers, which includes business owners, who fail to comply with tax compliance regulations. This means that many Americans are subject to penalties. However, there are solutions to aid business owners who want to ensure tax compliance. 

TEAM Software by WorkWave offers continued support to customers with their 2024 tax year planning. Our services are offered to assist and support businesses. It can help save companies some of the tedious and time-sensitive work to stay compliant. For more information on these and other related resources, speak with one of our experts.