IRS TO RESUME VIDEO TAX PREPARER VISITS

IRS to resume video tax preparer visits. The Government Accountability Office, or GAO, recommended in a report, to which the IRS agreed, that the service should test the feasibility of holding videoconference visits with tax returns preparers it flags as posing a high risk for submitting erroneous refundable credit claims, to replace in person visits […]

REQUIRED DISTRIBUTIONS UNDER SECURE ACT

Required distributions under secure act. During the Covid pandemic, thousands of individuals drew down retirement accounts, just to get by. Because of the fact that those retirees now had lower amounts for retirement, Congress enacted legislation to let them contribute more to future retirement accounts. But then they also enacted the Secure Act, and some […]

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 […]

TAX COURT CASE ON PROCEEDS FORMULA

Tax Court case on proceeds formula. The Eleventh Circuit found the IRS‘s interpretation of the judicial extinguishment proceeds formula for conservation easements to be procedurally invalid under the Administrative Procedure Act. In 2012, David Hewitt made a conservation easement contribution to the Pelican Coast Conservancy Inc. The recorded deed of conservation easement reserved Hewitt’s and […]

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 […]

THE TAX SEASON FROM HELL

The tax season from hell. The IRS has been underfunded for several years, and with the Congress making them oversee the Covid stimulus rollout, deal with ever increasing tax refund fraud, and identity theft, not to mention two Presidents who had major tax law changes that had to go into the tax code, is it […]

FRENZY OF TAX FILING FOR TAX REFUNDS

Frenzy of tax filing for tax refunds. People are filing their taxes at a blistering pace so far this year, underscoring how serious Americans are about getting any tax refund due or any stimulus check money they missed last year. The IRS began accepting and processing 2020 tax returns slightly later than usual because its […]

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 […]

CONFIDENTIALITY OF TAX RETURN INFORMATION

Confidentiality of tax return information. We are often asked by clients about the information that they provide us, and whether it is confidential. Let us provide you with some of the IRS guidelines for Tax Professionals that discuss the measures needed to safeguard a person’s tax return and other tax related information. Internal Revenue Code […]

IRS TAX COURT EASEMENT CASE

IRS tax court easement case. In our ongoing coverage of Tax Court cases, we highlight this case, which discusses easement issues. The Internal Revenue Service urged taxpayers involved in designated syndicated conservation easement arrangements to consult with their tax advisors following a recent U.S. Tax Court decision and agency plans to continue enforcement efforts in […]