INFLATION REDUCTION ACT ADDS 87,000 IRS

Inflation reduction act adds 87,000 IRS. The newly passed Inflation Reduction Act will add according to the GAO an estimated 87,000 New IRS People. Republicans were quick to state that the Act would increase the chance of audits on ordinary American, although that seems more a political year hype, designed to sway voters. The IRS […]

IRS SAYS ABUSIVE INSURANCE IS A SHAM

IRS says abusive insurance is a sham. The IRS stated that a recent court decision upholds its long standing regarding abusive microcaptive insurance transaction as a sham. Taxpayers are being alerted to the scheme by both the IRS and U.S. Treasury Department. These are peddled by promoters and will cost taxpayers lots of money if […]

WAYFAIR DECISION EVENS PLAYING FIELD

Wayfair decision evens playing field. The Wayfair Tax decision happened, due to large online retailers like Walmart and Amazon flouting again the IRS Tax System, so they can maximize profits at the expense of the American Economy, by not paying their fair share of taxes. The net result of the decision is that smaller retailers […]

AFTER LULL IRS GETTING MORE AGGRESSIVE

After lull IRS getting more aggressive. When the IRS shut down for nearly seven months, due to the Covid lockdown, they fell behind in filing almost 24 million back tax returns. They then hired 10,000 people to have a “surge”, to get those back returns caught up. In the meantime they also had nearly 8 […]

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 […]

WHAT SLOWS DOWN A TAX RETURN PART TWO

What slows down a tax return part two. Another myth that some taxpayers seem to believe is that they need to wait for their 2020 tax return to get processed and finished prior to filing their 2021 tax return, or all refunds are delayed due to the number of 2020 tax returns still being processed […]

STEPS TO STOP TAX RETURN ERRORS

Steps to stop tax return errors. The IRS announced in bulletin IR-2022-62 that taxpayers should be aware of common mistakes that can delay issuing tax refunds. This filing season, the IRS is seeing signs of a number of common errors, including some taxpayers claiming incorrect amounts of the Recovery Rebate Credit and Child Tax Credit. […]

WHITE HOUSE TO TAX BILLIONAIRES

White House to tax billionaires. When Candidate Joe Biden ran for office, one of the things he said was that billionaires were not paying a fair share of IRS taxes. He cited statistics and rallied support for the idea behind the large majority of Americans. After dealing with the Covid pandemic initially, the administration finally […]

IRS ISSUES ACCOUNTING CHANGE PROCEDURES

IRS issues accounting change procedures. Many of the tax changes in the Tax Cuts and Jobs Act have taken some time to come out and get guidance from the IRS. As they are quite numerous and at times some of the tax law changes are not given guidance until some taxpayer realizes they can’t make […]

VIRUS BILL HAS TAX CREDITS FOR EMPLOYERS

Virus bill has tax credits for employers. The Coronavirus relief bill signed by President Trump late Wednesday, among its many provisions, several tax credits for employers who provide paid sick leave or family or medical leave for their employees who miss work for various coronavirus related reasons. The Families First Coronavirus Response Act, H.R. 6201, […]