New Business Regulations for 2024
Whether you own a small business or a large corporation, there’s one thing you always need to do: follow the law. Laws are in place to protect businesses, provide a safe work environment, and ensure that employees are treated fairly. When businesses intentionally do not follow the laws, they are not looked at favorably.
New laws come about every year. As a business owner, what should you know for 2024 in order to stay compliant? Here’s a look at the new laws.
Wages and Overtime
Minimum wage will increase for more than 20 states in 2024. On September 30, Florida’s minimum wage in particular will go up by $1 to $13.
There will also be changes to overtime. The Department of Labor has announced a proposed rule that would allow 3.6 million more workers to qualify for overtime. The proposed regulation would require employers to pay overtime to exempt workers, such as salaried workers who are in executive, administrative, and professional roles. This law would apply to workers who earn less than $1,059 a week, or $55,068 a year. That salary threshold is an almost $20,000 increase from the previous threshold of $35,568. That law is expected to cause a lot of disruption for small businesses in terms of cost.
A Reprieve From Reporting Certain Digital Transactions
The IRS has once again delayed a requirement that payments of over $600 via payment apps such as Venmo and Zelle and online marketplaces must be reported for tax purposes. The requirement was put into place as part of the American Rescue Act but was delayed and set to take effect for the 2023 tax year. The IRS still does not have a specific law in place for businesses just yet, but is planning a threshold of $5,000 for the 2024 tax year.
Registering with FinCEN
A new law for 2024 is requiring small businesses to register with an agency called the Financial Crimes Enforcement Network. This regulation is part of the Corporate Transparency Act, which was passed in 2021.
Businesses with more than 20 employees and more than $5 million in sales may be exempt, but an estimated 32 million small businesses are not exempt. The owners and part-owners of those businesses must register their personal information, such as a photo ID and home address. The cost of noncompliance can result in penalties as high as $10,000.
Learn More About Business Laws
As a small business owner, it’s easy to feign ignorance of the law, but you do need to follow the law. The law does not allow small business owners off the hook so easily. You could face hefty fines and other penalties for noncompliance.
Need advice about operating your business? Have legal concerns? Contact an Orlando business lawyer B.F. Godfrey from Godfrey Legal for assistance. We understand that there is a lot involved in running a business and it’s helpful to have good advice from a professional. Fill out the online form or call (407) 890-0023 to schedule a consultation.
Source:
usnews.com/news/business/articles/2023-12-13/what-small-businesses-need-to-know-about-new-regulations-going-into-2024
