JCSM Shareware Collection 1996 September/JCSM Shareware Collection (JCS Distribution) (September 1996).ISO/bother__/sba954.zip/F235.SBE

Text File | 1995-11-26 | 29KB | 598 lines

            ┌───────────────────────────────────────┐
            │ UPDATE INFORMATION--CHANGES IN RECENT │
            │ QUARTERLY RELEASES OF THIS PROGRAM:   │
            │                                       │
            │ (Numbers in brackets indicate YEAR/QTR│
            │  when update or new feature was added)│
            └───────────────────────────────────────┘


        HIGHLIGHTS OF FEDERAL DEVELOPMENTS IN THIS RELEASE:
        ───────────────────────────────────────────────────

  .  NEW 1996 TAX CALCULATION MODULE INCLUDED WITH 4TH
     QUARTER 1995 RELEASE.  Our new 1996 tax planning module,
     fully updated for 1996 tax rates and brackets and for
     tax law changes (as known as of November 5, 1995) for
     1995, is included with Release 95.4 of this program.
     [95/4]

  .  UPDATED FOR 1996 INDIVIDUAL TAX RATE BRACKET CHANGES.
     The IRS has announced 1996 tax brackets, as indexed
     for inflation, for the individual income tax.  These
     are now reflected in the text, throughout the program.
     [95/4]

  .  UPDATED FOR 1996 PENSION PLAN LIMITS INDEXING.  Release
     95.4 and subsequent releases have been updated to re-
     flect IRS indexing of various dollar limits applicable
     to employee pension benefit plans for 1996, such as the
     increase in the maximum deferral allowed per employee
     for a 401K plan, from $9,240 in 1995 to $9,500 in 1996.
     [95/4]

  .  UPDATED FOR INCREASE IN FICA AND SELF-EMPLOYMENT TAX
     WAGE BASE IN 1996.  The program has been updated
     throughout to reflect the 1996 inflation-adjusted
     amounts of income subject to the full rate (15.3%)
     of FICA or Self-employment tax, which was increased
     from $61,200 in 1995 to $62,700 in 1996.  Amounts
     in excess of $62,700 are subject only to the 2.9%
     Medicare portion of the social security taxes. [95/4]

  .  OTHER WITHHELD TAXES NO LONGER REPORTED ON FORM 941.
     Taxpayers required to withhold certain taxes other
     that wage withholding and FICA (such as "backup
     withholding on interest or dividends) will now report
     such withholdings on new IRS Form 945.  However,
     these rules were recently liberalized, so that a
     taxpayer only has to file Form 945 in years when
     taxes have been withheld that must be reported on
     the Form 945.  Previously, a taxpayer was required
     to continue filing the form every calendar year after
     the initial year it was filed, even if no taxes were
     withheld for such year. [95/4]

  .  IRS CHANGES PASSIVE LOSS REGULATIONS ON LEASES OF
     PROPERTY TO A CONTROLLED COMPANY.  New IRS tax
     regulations will treat the net income on property
     that you lease to your business as active income,
     not "net passive income" that you can use to offset
     net passive losses on other passive activities.
     See the "PASSIVE ACTIVITY LOSS" item on the INDX
     listing under the Main Menu, for further details on
     this latest IRS "Catch-22" rule. [95/3]

  .  EFT PAYMENTS NOW REQUIRED FOR SOME PAYROLL TAXES.
     Beginning in 1995, about 800 large employers in the
     U.S. are required to make payroll tax payments of
     withheld income taxes and FICA tax to the IRS by
     means of electronic funds transfers (EFT).  This
     requirement will be expanded to include all but
     the smallest employers by 1999.  [95/3]

  .  NEW VETERANS RE-EMPLOYMENT RIGHTS ACT.  Effective as
     of October, 1994, the Veterans Re-employment Rights
     Act of 1994 has gone into effect, imposing new re-
     quirements on employers of anyone who serves in the
     reserves or other uniformed services.  Coverage of
     this important new employer obligation is now covered
     in this program. [95/2]

  .  "CONTRACT WITH AMERICA TAX RELIEF ACT OF 1995" APPROVED
     BY HOUSE WAYS & MEANS COMMITTEE.  On March 14, 1995,
     the Ways & Means Committee of the United States House of
     Representatives approved a number of major tax cut pro-
     visions promised in the Republican Party's "Contract
     with America."  Full House (and Senate) approval was
     pending as we released this update.  For details on the
     proposed new tax legislation, use the "INDX" menu selec-
     tion on the Main Menu and look up the "CONTRACT WITH
     AMERICA--TAXES" item.  (Or use the "KEY" menu selection
     and enter "CONTRACT WITH AMERICA" as the phrase to be
     searched for.)  [95/2]

  .  SELF-EMPLOYED TAXPAYERS' DEDUCTION FOR A PORTION OF
     MEDICAL INSURANCE PREMIUMS PAID EXTENDED, EXPANDED.
     The 25% deduction of medical insurance premiums that
     was allowed for self-employed individuals expired
     12-31-93.  Finally, in April, 1995, just before the
     filing date for 1994 tax returns, Congress retro-
     actively extended this deduction to 1994, and in-
     creased it to 30% in 1995.  Note that the 1995 tax
     planning/tax calculation module included with this
     program reflects this legislation and the 30% deduc-
     tion percentage for 1995.  [95/2]

  .  HOUSE BILL WOULD RESTORE EXPIRED EDUCATIONAL ASSISTANCE
     EXCLUSION.  The exclusion from employee income of cer-
     tain employer-provided educational assistance expired
     at the end of 1994 and has not yet been reinstated.
     However, House Bill HR 127, introduced by Rep. Sander
     Levin (D-Mich.), the Employee Educational Assistance
     Act of 1995 will, if enacted, restore the exclusion
     and make it permanent. [95/2]

  .  IRS PROPOSED REGULATIONS MAY ALLOW EARNINGS OF SOME
     MEMBERS OF A LIMITED LIABILITY COMPANY TO ESCAPE
     SELF-EMPLOYMENT TAX.  If new a Proposed Regulation
     of the IRS goes into effect, members of a limited
     liability company ("LLC") who are not among the des-
     ignated managers of the LLC may be treated as limited
     partners for self-employment tax purposes, if certain
     conditions are met.  In that case, like limited part-
     ners in a limited partnership, they will not be sub-
     ject to federal self-employment tax on their share of
     the LLC's earnings.  NOTE:  This rule won't go into
     effect till the tax year AFTER the Proposed Regulation
     becomes final, however.  For details on how this rule
     may apply to an LLC, see the Self-Employment Tax
     item in this program's index ("INDX" menu item), or
     on the TAX Info Submenu ("S/E" menu item).  [95/2]

  .  FINAL FAMILY AND MEDICAL LEAVE ACT REGULATIONS NOW
     IN EFFECT.  The final regulations under the federal
     Family and Medical Leave Act of 1993 went into effect
     on April 6, 1995.  We have updated the program to
     reflect the final regulations.  [95/2]

  .  IRS RULES THAT AN LLC MAY BE CONVERTED, TAX-FREE, TO
     A LIMITED LIABILITY COMPANY.  In Rev. Rul. 95-37, the
     Internal Revenue Service recently ruled that existing
     partnerships may generally be converted into limited
     liability companies ("LLCs") without taxable gain or
     loss being recognized (generally) to any of the part-
     ners, provided that the LLC qualifies for partnership
     tax treatment, for income tax purposes.  The Revenue
     Ruling further states that it is not even necessary
     to file a short-period tax return for the partnership,
     or to obtain a new Employer I.D. number, since the LLC
     is, in effect, treated as a continuation of the old
     partnership entity.  [95/2]

  .  BILL INTRODUCED IN CONGRESS TO ALLOW STATES TO FORCE
     OUT-OF-STATE SELLERS TO COLLECT USE TAX.  A bill has
     been introduced in the Senate by Sen. Dale Bumpers of
     Arkansas, which would authorized states to require
     out-of-state sellers, such as mail order companies,
     to collect sales or use tax on sales of tangible
     property shipped into a state, at a single uniform
     state wide rate (even if the state has varying local
     rates) for each state.  Certain small sellers would
     be exempt, if unless they have either $3 million of
     total sales of such items or $100,000 of such sales
     in the particular state, in the 12 months ending in
     September of the preceding calendar year.  Couched
     as a "tax fairness" bill to "help main street
     businesses" who compete against out-of-state mail
     order firms that are not currently required to
     collect use tax or sales tax from in-state buyers,
     the proposed legislation may have a good chance of
     passing, particular since it is sponsored by
     President Clinton's Democratic colleague from
     Arkansas, a powerful member of the Senate.  We
     will keep you advised of the status of the proposed
     legislation in future updates of this program. [95/2]

  .  AUTO MILEAGE DEDUCTION INCREASED FOR 1995.  The flat
     per-mile deduction for business auto use has been in-
     creased from 29 cents to 30 cents, effective January
     1, 1995. [95/1]

  .  ADA DEFINITION OF "DISABILITY":  NEW EEOC INTERNAL
     GUIDELINES SHED LIGHT ON WHAT IT MEANS.  See the
     information in this program on the Americans with
     Disabilities Act ("ADA"), for an analysis of what
     the law means by "disability," as discussed in a
     new 56-page internal manual created by the EEOC
     for its own personnel, to be used in interpreting
     and enforcing the ADA. [95/1]

  .  CLINTON ADMINISTRATION PROPOSING EXTENSION OF THE
     ENVIRONMENTAL TAX ON CORPORATIONS.  The current admin-
     istration is proposing an extension, at least to the
     year 2000, of the federal environmental tax (of 0.12%
     on alternative taxable income of a corporation in ex-
     cess of $2 million), which is due to expire after
     1995.  [95/1]

  .  PRESIDENT SIDESTEPS CONGRESS, ISSUES EXECUTIVE ORDER
     BANNING STRIKER REPLACEMENTS.  Organized labor has
     failed on several attempts in recent years (under
     Democratically-controlled Congresses) to get a law
     enacted that would prohibit companies from hiring
     replacement workers ("scabs") during strikes.  Now
     (in March, 1995), President Clinton has attempted an
     end-run around a GOP-controlled Congress, by issuing
     an Executive Order that bans of hiring striker re-
     placements by federal contractors. [95/1]

  .  UPDATED/ADDED INFORMATION ON EXPORTING TO MEXICO
     UNDER NAFTA.  On January 1, 1994, the 3-way NAFTA
     free trade agreement between Canada, Mexico, and the
     U.S. went into effect.  The effect on trade between
     the U.S. and Mexico has been spectacular.  In the
     first 6 months after going into effect, Mexico has
     moved ahead of Japan as the second largest market
     for U.S. exports, second only to Canada.  [95/1]



              HIGHLIGHTS OF RECENT STATE LAW CHANGES:
              ───────────────────────────────────────

  .  STATE UNEMPLOYMENT TAX COVERAGE EXPANDED.  Expanded
     coverage of unemployment tax rates, wage bases, and
     other information has been added for all states in
     this release.  [95/3]

  .  STATE FAMILY LEAVE LAWS.  Coverage has been expanded
     to include family leave legislation in all 50 states
     and the District of Columbia, in addition to coverage
     of the federal Family and Medical Leave Act. [94/4]

  .  ALABAMA ENACTS TOUGHEST LAW IN THE NATION FOR FOREIGN
     CORPORATIONS THAT FAIL TO QUALIFY.  During its 1995
     Regular Session, the state legislature enacted an
     amendment to the Alabama Business Corporation Act,
     which holds that any contracts entered into prior to
     the date the corporation "qualified" (registered with
     the state) to do business are VOID.  Former law con-
     tained a similar provision, like those in many other
     states, but allowed a corporation to cure the defect
     after the fact, by qualifying to do business in Alabama.
     However, the new Alabama law is unique, in that it pro-
     vides no such mechanism to reinstate the validity of con-
     tracts an out-of-state corporation entered into in the
     state prior to qualifying.  Beware, if your corporation
     is doing business in Alabama -- failure to qualify on a
     timely basis could have disastrous repercussions on
     your business.  (This new provision does not appear
     to be an oversight:  Section 1 of the Act declares that
     the legislature intended the Act "for the protection
     of [Alabama] citizens from fraudulent and overreaching
     practices by foreign corporations....) [95/3]

  .  ARIZONA ENACTS FURTHER TAX RELIEF IN 1995.  The state
     has reduced personal income tax rates across the board,
     with the top bracket rate reduced from 6.9% in 1994 to
     5.6% in 1995 and subsequent years. [95/2]

  .  CALIFORNIA ANNOUNCES NEW SDI RATE FOR 1996.  The rate
     of tax to be withheld from employee wages for State
     Disability Insurance drops from 1.0% in 1995 to 0.8%
     in 1996, still computed on the first $31,767 of an
     employee's wages only. [95/4]

  .  SMALL CALIFORNIA EMPLOYERS CAN PROVIDE PAYROLL TAX
     INFORMATION BY PHONE IN 1996.  Starting in April of
     1996, the E.D.D. will allow California employers
     with 1-4 employees to provide payroll tax information
     by telephone, instead of filing a quarterly DE-6 wage
     report. [95/4]

  .  INCOME TAX FILING BY TELEPHONE.  Starting with the
     1996 tax filing season, certain individual California
     taxpayers who file Form 540EZ returns will be permit-
     ted to file their tax returns by telephone. [95/4]

  .  CALIFORNIA -- California has adopted a Limited Liabil-
     ity Partnership (LLP) law, allowing certain types of
     professional services firms to operate as LLPs.  In
     general, professionals are not allowed to operate as
     LLCs in California.  Under the new LLP law, only cer-
     tain law and accounting firms will be allowed to set
     up LLPs under California law.  Firms that qualify
     must file Form LLP-1 with the Secretary of State.
     [95/4]

  .  CALIFORNIA -- California Franchise Tax Board released
     (9/95) the 1995 indexed tax brackets for the California
     personal income tax.  The 1995 tax brackets are now
     reflected in this release of this program.  1996 tax
     brackets will not be announced by the FTB until late
     1996.  [95/4]

  .  CALIFORNIA -- LOCAL SALES TAX CHANGES.  The Santa Clara
     County sales tax rate dropped from a total of 8.25% to
     7.75% on April 1, 1995, and a replacement sales tax is
     not being implemented until a court decides its valid-
     ity.  Meanwhile, Clear Lake City has adopted a citywide
     sales tax increase of 0.5% for public safety purposes,
     and Tulare County has increased its total tax rate from
     7.25% to 7.75%, effective 10-1-95.   In addition, the
     court-mandated reductions of the local sales tax rates
     in San Diego (to 7%) and Monterrey (to 6.5%) Counties
     will expire on 4-1-96, at which time the tax rate in
     both those counties will increase by 0.75%.   [95/3]

  .  CALIFORNIA -- S.D.I. RATE DROPS.  For 1995, the S.D.I.
     withholding tax on wages is reduced to 1.0%, from 1.3%
     in 1994.  It still applies to the first $31,767 of wages
     per employee. [95/2]

  .  CALIFORNIA EMPLOYER WITHHOLDING RULES REVISED FOR 1995.
     Once again, withholding requirements for employers in
     California have been significantly revised, for calendar
     year 1995.  [95/1]

  .  CALIFORNIA -- SMOKE-FREE WORKPLACE RULES.  Effective as
     of January 1, 1995, new state law went into effect, regu-
     lating smoking in the workplace.  [95/1]

  .  CALIFORNIA -- NEW DIESEL FUEL TAX.  Effective as of July
     1, 1995, the state has imposed an 18 cent per gallon
     excise tax on diesel fuel.  [94/4]

  .  CALIFORNIA -- LEGISLATURE PASSES LLC LAW.  California's
     Legislature has finally enacted a Limited Liability
     Company Law, which went into effect in October, 1994.
     [94/4]

  .  CONNECTICUT SALES TAX.  Connecticut motor fuel tax
     rates were increased from 31 cents to 32 cents on
     1-1-95, 33 cents on 7-1-95, and to 34 cents a gallon
     on 1-1-96. [95/3]

  .  DELAWARE LOWERS PERSONAL INCOME TAX RATE.  Beginning
     in tax years after December 31, 1995, the top personal
     income tax rate in Delaware will be reduced to 7.1%.
     [95/3]

  .  IOWA EXPANDS DEDUCTION FOR HEALTH INSURANCE.  Begin-
     ning with the 1996 tax year, Iowa will permit individ-
     uals to deduct 100% of the premiums paid for health
     insurance coverage in computing Iowa taxable income,
     regardless of whether federal law at the time permits
     a 25% (or other) deduction of such premiums for self-
     employed persons.  Also, the Iowa deduction is allowed
     for any individual taxpayer, including a wage earner,
     and not just for self-employed individuals, unlike the
     federal provision.  [95/2]

  .  LOUISIANA DEPT. OF REVENUE WILL NOT ENFORCE NEW SALES
     TAX ON MAIL ORDER FIRMS.  The state Department of
     Revenue has announced it will not attempt to enforce
     the new 4% additional sales tax on out of state mail
     order vendors, until federal law is enacted that per-
     mits such state legislation.  [95/1]

  .  MICHIGAN PHASING OUT INTANGIBLES TAX.  Michigan has
     repealed its tax on intangible property, effective
     as of 1998.  It will be phased out gradually over
     the years 1994-1997.  [95/2]

  .  MICHIGAN SINGLE BUSINESS TAX.  Updated discussion and
     analysis of Single Business Tax, including recent
     cut in tax rate from 2.35% to 2.3%. [94/4]

  .  MISSISSIPPI REPEALS BULK SALE LAW.  A majority of
     states, including Mississippi, have repealed their
     bulk sale (or "bulk transfer") laws since 1988.  The
     repeal of the Mississippi law became effective on
     July 1, 1995. [94/4]

  .  MONTANA 1995 TAX BRACKET INDEXING ANNOUNCED.  Updated
     discussion of Montana taxes now reflects indexed 1995
     personal income tax brackets in Montana, which are
     announced for each year near the end of the year. [95/4]

  .  NEBRASKA GAS AND SPECIAL FUELS TAX REDUCED.  For the
     third quarter of 1995, the motor and special fuels
     tax rate is raised to 25.7 cents (formerly 24 cents)
     per gallon. [95/3]

  .  NEW JERSEY TAX CUTS ENACTED.  Effective as of January
     1, 1996, the maximum individual income tax rate in
     New Jersey is reduced from to 6.37%.  The top rate
     of 7% before 1994 was reduced in stages in 1994 and
     1995.  In addition, the tax rate on income of C corp-
     orations with $100,000 or less of net income will be
     reduced from 9% to 7.5%, effective July 1, 1996.  [95/3]

  .  NEW MEXICO REVISES CORPORATE ESTIMATED TAX SAFETY ZONE.
     Effective for tax years beginning in or after 1996,
     corporations subject to New Mexico taxation can base
     their estimated income tax payments on the higher of
     their previous year's tax liability or $5,000. [95/2]

  .  NEW MEXICO REDUCES GAS TAX RATE TEMPORARILY.  The state
     excise tax on gasoline and certain special fuels,
     previous 20 cents a gallon, is reduced to 17 cents
     a gallon as of July 1, 1995.  The rate will drop to 16
     cents on July 1, 2003 (or earlier, if certain funding
     levels are attained earlier for highway debentures).
     [95/3]

  .  NEW MEXICO WAGE BASE FOR UNEMPLOYMENT TAX INCREASED.
     The amount of an individual employee's wages subject
     to state unemployment tax has increased to $13,500 in
     1995, up from $13,100 in 1994. [95/1]

  .  NEW MEXICO TAX ON CONTROLLED SUBSTANCES REPEALED.  As
     of July 1, 1995, the controlled substances tax on
     marijuana and other substances is repealed.  [95/3]

  .  NATURAL GAS AND CRUDE OIL PRODUCTION INCENTIVE ACT.
     Effective June 17, 1995, New Mexico has enacted the
     Natural Gas and Crude Oil Production Incentive Act,
     which exempts from oil and gas severance taxes any
     natural gas, oil, or other liquid hydrocarbons that
     are severed and sold from a "production restoration
     project" during the first 10 years after restora-
     tion of production, if the annual average price of
     west Texas intermediate crude oil is less than $24
     per barrel.  A "production restoration project" is
     one that returns to production an oil or gas well
     that had 30 days or less of production in 1993 and
     1994, as approved and certified by the Oil Conserva-
     tion Division. [95/3]

  .  NORTH CAROLINA MOTOR FUEL TAX RATE DECREASES.  For the
     second half of 1995, the tax rate on gasoline and other
     motor fuels is reduced from 21.7 cents to 21.6 cents per
     gallon.  [95/3]

  .  NORTH DAKOTA ADOPTS NEW INCOME TAX RULES FOR S CORP-
     ORATIONS AND PARTNERSHIPS.  New legislation, effective
     for tax years starting after December 31, 1994, allows
     S corporations and partnerships doing business in the
     state to file "composite" tax returns for their indi-
     vidual nonresident shareholders and partners, in lieu
     of their each having to file an individual North Dakota
     income tax return.  The tax that must be paid with such
     composite returns is to be computed by multiplying the
     North Dakota taxable income by the highest current
     federal individual tax rate, which is then to be mul-
     tiplied by the 14% North Dakota individual short form
     tax rate.  Rules for filing such returns are to be
     prescribed by the North Dakota Tax Commissioner. [95/2]

  .  OHIO GASOLINE TAX RATE TO REMAIN UNCHANGED FOR FISCAL
     YEAR ENDING 6/30/96.  The state's motor fuel tax will
     remain at the previous level of 22 cents per gallon
     for the fiscal year July 1, 1995 through June 30, 1996.
     [95/3]

  .  PENNSYLVANIA ADOPTS "LIMITED LIABILITY COMPANY" LAW.
     Effective as of February 5, 1995, Pennsylvania law
     authorizes the formation of Pennsylvania "limited
     liability companies," which are neither corporations
     nor partnerships.  [94/4]

  .  PENNSYLVANIA CUTS CORPORATE INCOME TAX RATES.  Corpor-
     ate tax rates in Pennsylvania, previously 12.25%, have
     been reduced to 9.99, starting in 1995.  The state
     inheritance tax on spousal transfers has also been el-
     iminated, for deaths occurring on or after January 1,
     1995. [95/3]

  .  RHODE ISLAND GASOLINE TAX UNCHANGED IN 4TH QUARTER
     OF 1995.  The Rhode Island gasoline tax, which is set
     quarterly, will remain at 28 cents per gallon for the
     last quarter of 1995.  [95/3]

  .  SOUTH DAKOTA INCREASES CERTAIN SALES TAXES.  An addi-
     tional tax of 1% is imposed by South Dakota on lodgings,
     passenger car rentals, amusement parks, amusement and
     recreation services, and marinas.  Also the rate for
     the alternative contractors' excise tax is increased
     to 2% from 1.5%, and numerous sales and use tax exemp-
     tions were repealed, effective 7-1-95.  [95/3]

  .  VERMONT SALES TAX 5% RATE EXTENDED ANOTHER YEAR.  The
     Vermont sales tax, which dropped back to 4% on July
     1, 1993, was temporarily increased to 5% again, until
     July 1, 1995, at which time it was due to drop back to
     4%.  However, the 5% rate has now been extended for
     another year, through 6-30-96 [95/3]

  .  VERMONT MINIMUM WAGE INCREASES.  The Vermont minimum
     wage is slated to increase from $4.25 an hour to $4.50
     an hour on January 2, 1995 and to $4.75 an hour on
     January 2, 1996. [95/1]

  .  VERMONT TAX WITHHOLDING ON PURCHASES OF REALTY FROM
     NONRESIDENTS.  Coverage expanded to include your
     withholding tax requirements if you buy Vermont real
     estate from a nonresident person.  [95/1]

  .  WASHINGTON SALES TAX EXEMPTION ENACTED FOR MANUFACTURING
     EQUIPMENT.  Effective 7-1-95, Washington has enacted a
     sales and use tax exemption for most manufacturing ma-
     chinery and equipment purchased for use within the state,
     as an incentive to manufacturers. [95/3]

  .  WASHINGTON B & O TAX ON INSURANCE AGENTS AND INSURANCE
     BROKERS REDUCED.  Effective July 1, 1995, the Business
     & Occupations Tax on insurance agents, brokers, and
     solicitors was reduced to 0.55% plus a surtax equal to
     4.5% of the base rate, or a total rate of 0.575%.  The
     surtax is due to expire after June 30, 1997.  [95/3]

  .  WISCONSIN GASOLINE TAX RISES.  The Wisconsin gasoline
     tax increased from 23.1 cents to 23.4 cents per gallon,
     effective April 1, 1995.  [95/1]

  .  WYOMING EXTENDS EXTRA 1% SALES TAX FOR 2 MORE YEARS.
     The 4% state sales tax, scheduled to revert to 3% on
     July 1, 1996, has now been extended until July 1, 1998.
     However, if the state makes a determination that it has
     met certain specified budget goals before that date,
     the tax will drop to 3.5% on the July 1 after the
     Governor certifies that such a determination has been
     made. [95/2]


   OTHER CHANGES AND ADDITIONS IN RECENT QUARTERLY RELEASES:
   ────────────────────────────────────────────────────────

  .  NEW SEGMENT ADDED ON SELECTING PROFESSIONAL ADVISERS.
     This new text segment (see various items for Attorneys,
     Accountants, Benefit Consultants, etc. in index) pro-
     vides helpful tips on how to go about finding and how
     to use various professional advisers, as well as
     where to find free or inexpensive sources of help and
     information through SBA offices, SCORE and SBDC's,
     among others.  [95/1]

  .  TELEPHONE HOTLINES. Updated various telephone numbers
     of government agencies, many of which have changed or
     been disconnected in recent months.  Also added
     Justice Department information line number for in-
     formation on the Americans with Disabilities Act.
     A number of key addresses of Internet sites have also
     been added.  [95/4]

  .  SHOULD YOU HIRE EMPLOYEES?  A new feature, which will
     suggest a few things you need to consider before you
     hire your first employee.  See the INDX menu selection
     on the Main Menu, for this item.  Look up the item,
     "HIRING EMPLOYEES" that appears in the topic index.
     [95/2]


@IF990xx]  .  BUILT-IN ORDER FORM.  In addition, we have built in a
@IF990xx]     feature that now allows you to print out the order
@IF990xx]     form to send to us (with $$ enclosed), if you want to
@IF990xx]     order an update or program upgrade, or the companion
@IF990xx]     book that we sell here and in bookstores, STARTING &
@IF990xx]     OPERATING A BUSINESS IN @STATE.

─────────────────────────────────────────────────────────────
             NOTE:   Things change....Rapidly.
─────────────────────────────────────────────────────────────
The above are changes made in  the last 4 quarterly updates,
not including earlier revisions.  Thus,  if you have an ear-
lier  version of the program  issued more than 3 months ago,
there are a great  many update  changes since  then that are
NOT listed above,  since those  have long since  been incor-
porated into  the program, and,  from our point of view, are
now ancient history.
─────────────────────────────────────────────────────────────

     ┌─────────────────────────────────────────────────────┐
     │AS YOU WILL NOTE FROM THE FOREGOING CHANGES, THE LAWS│
     │AFFECTING BUSINESS TEND TO CHANGE  VERY RAPIDLY,  AND│
     │THIS  PROGRAM IS  REVISED ON ALMOST  A DAILY BASIS TO│
     │KEEP UP WITH THE FLOOD OF  TAX AND LEGAL CHANGES THAT│
     │OCCUR.   ACCORDINGLY,  IF THIS PROGRAM IS MORE THAN A│
     │YEAR OLD,  A LARGE PORTION  OF THE INFORMATION  IN IT│
     │IS LIKELY TO BE DANGEROUSLY OUT-OF-DATE. WE ISSUE UP-│
     │DATES OF THE PROGRAM EVERY 3 MONTHS AT A VERY REASON-│
     │ABLE PRICE.  TRY US.                                 │
     └─────────────────────────────────────────────────────┘


     ┌─────────────────────────────────────────────────────┐
     │ OUR FAVORITE QUOTE OR PITHY REMARK FOR THIS EDITION:│
     │                                                     │
     │ "Man is a thinking animal, a talking animal, a tool-│
     │  making animal, a building animal, a political ani- │
     │  mal, a fantasizing animal.  But in the twilight of │
     │  a civilization he is chiefly a taxpaying animal."  │
     │    -- Hugh MacLennan                                │
     │                                                     │
     └─────────────────────────────────────────────────────┘