NO STEP UP BASIS PART TWO

No step up basis part two. The case in question involves a prior IRS Letter Ruling made regarding the step up basis of a Private Foundation, and then a subsequent Foundation relying on that ruling to make Tax Filins judgements that were then reversed in Tax Court. The IRS, under similar facts in IRS Letter […]

TAX COURT CASE RELYING ON TAX PREPARER

Tax Court case relying on tax preparer. Erik and Aspasia Oosterwijk filed their 2017 tax return late and now seek a refund for the IRS’s late file penalties because their accountant failed to e-file for an extension and then gave them incorrect advice on how to obtain an extension and stop the penalties from accruing. […]

IRS OVERVIEW OF AMERICAN RESCUE PLAN

IRS overview of american rescue plan. The Internal Revenue Service has provided key aspects of tax provisions in the American Rescue Plan, and is urging taxpayers with children to file returns quickly for payments of the Child Tax Credit. Several provisions impact the 2020 tax return people are filing out this tax season, including one […]

TAX DISPUTE ONE OF LARGEST BY IRS

Tax dispute one of largest by IRS. A little known decision by the Internal Revenue Service’s appeals unit may spell trouble for legendary investor Jim Simons, who’s embroiled in a multi-billion dollar tax dispute with the agency. Reviewing the audit of an investment manager in Connecticut, the IRS Office of Appeals rejected a tax-avoidance maneuver […]

IRS TO IMPROVE EITC PROGRAM

IRS to improve EITC program. National Taxpayer Advocate Nina Olson has released a special report on the Earned Income Tax Credit, EITC, which makes recommendations designed to increase the participation rate of eligible taxpayers and reduce overclaims by ineligible taxpayers. The Taxpayer Advocate Service published a subway map that depicts a taxpayer’s “journey” through the […]

IRS HIGHLIGHTS CREDITS AND DEDUCTIONS

IRS highlights credits and deductions. During small business week, the Internal Revenue Service reminds small business owners and self-employed individuals to take deductions and credits that will help their bottom line. This year, National Small Business Week and the IRS have recognized the importance of small businesses to the overall economic growth of the U.S. […]

TAX SEASON IS TAX SCAM TIME

Tax season is tax scam time. Tax scams abound year round, but people over 65 are targeted even more frequently during the tax season. Tax season is tax scam time. Why ? A certain amount of money is in play at this time as taxpayers are figuring out what they owe Uncle Sam and scammers […]