SENATE AND POST WAYFAIR SALES TAX BURDEN

Senate and post wayfair sales tax burden. In a hearing before the U.S. Senate, Small Business owners told a group of Senators how the interstate reach of state and local sales taxes authorized by the Supreme Court in South Dakota v Wayfair, Inc. has imposed new costs and other burdens. The committee also heard from […]

IRS PROPOSES REGULATION TO ESTATE TAX

IRS proposes regulation to estate tax. The IRS in regulation 118913-21, provided an exception to the “clawback” rule that preserves the benefits of the temporary higher and gift tax basic exemption exclusion amount. The special IRS rule that preserves the benefits of the estate and gift tax payable on the decedent’s lifetime gifts. Left for […]

JONES V COMMISSIONER PART TWO

Jones v Commissioner part two. Lindsey Jones was trying to obtain Innocent Spouse relief under the IRS code. The court determined that the petitioner, Lindsey Jones, had consented to the filing of the 2010 jointly filed tax return. Petitioner did not file a separate Federal IRS income tax return despite her income having exceeded the […]

PROPOSAL TO RAISE REVENUE WITH MORE TAXES

Proposal to raise revenue with more taxes. After President Biden’s “Build Back Better” went down in flames due to Sen. Manchin’s holdout vote, it seems like another approach is in the works. President Biden has proposed a massive budget that is over $5 trillion dollars, the largest in United States history. Yet, it does very […]

BOOK AND TAX INCOME PART TWO

Book and tax income part two. With the need for more revenue, governments around the world, including the U.S. Government, have been looking at ways to raise additional revenue. One of the ways discussed is closing loopholes, another under discussion is taxing cryptocurrency, whose large profits over the last few years has caught the eyes […]

AMERICAN RESCUE PLAN DETAILS

American rescue plan details. The American Rescue Plan Act of 2021 was signed by President Biden on March 11, 2021. The Act has unemployment benefits, vaccination programs and additional unemployment benefits meant to get people through the COVID-19 crisis. More funding for state and local governments was included, assistance to schools to help them open […]

ECONOMIST SAY ANOTHER STIMULUS CRITICAL

Economist say another stimulus critical. Negotiations over a second round of economic stimulus have been at an impasse for several months, after Congress came together and passed the bipartisan $2.2 trillion CARES Act in march. That legislation included one time $1200 direct stimulus checks to most Americans as well as an additional $600 per week […]

SURPRISE TAX BREAK IN NEW RELIEF BILL

Surprise tax break in new relief bill. The coronavirus pandemic has brought the global economy to its knees, and lawmakers in Washington are pulling out all the stops to find ways to support hard hit Americans. Even after three rounds of legislation to stimulate the U.S. economy, there’s been discussion of still more proposals to […]

VIRUS EMPLOYER TAX CREDITS FORM

Virus employer tax credits form. The IRS issued a new form and instructions,  irs.gov/pub/irs-pdf/i7200.pdf  for employers to use to obtain advance payments of three tax credits that were created to help businesses cope with the coronavirus pandemic. Employers may file new Form 7200. Advance Payment of Employer Credits Due to Covid 19, to obtain advances […]

FILING YOUR TAX RETURN WILL NEVER BE THE SAME

Filing your tax return will never be the same. After passage of the Tax Cuts and Jobs Act, and the expectation that tax return rates across the board would go down, it came as quite a surprise to many tax professionals, and their clients, to realize they actually had an increased tax bill. One aspect […]