EEO-1 Reporting Expected to Begin in Fall for Covered Employers

The U.S. Equal Employment Opportunity Commission (EEOC) has announced it is tentatively scheduled to begin accepting EEO-1 reports for 2022 via its portal in the fall of 2023.

The EEO-1 is an annual report through which covered employers must submit demographic workforce data, including data by race/ethnicity, sex, and job categories, to the EEOC. An EEO-1 report is required for:

• All private sector employers with 100 or more employees.
• Federal contractors with 50 or more employees and contracts of $50,000 or more.

Note: Some states, such as California and Illinois, have their own pay data reporting requirements.

If you are covered by the EEO-1 requirement:

• Monitor the reporting portal for updates, instructions, and resource materials from the EEOC.
• Prepare to submit your EEO-1 by the deadline, once announced.

R&D Tax Credits

R&D tax credits are available to all organizations that engage in certain activities to develop new or improved products, processes, software, techniques, formulas or inventions. 

Businesses can claim an R&D tax credit of up to $250,000 per year against their payroll taxes. Eligible organizations include those that have under $5 million in gross receipts in the current year and no more than 5 years of generating gross receipts, including the current year. New businesses, meanwhile, can offset payroll taxes for up to five years, with a maximum of $1.25 million in total credits used on their quarterly federal payroll tax returns.