News
IRS: Taxpayers impacted by the terrorist attacks in Israel qualify for tax relief; Oct. 16 filing deadline, other dates postponed to Oct. 7, 2024
October 14, 2023
The Internal Revenue Service announced tax relief for individuals and businesses affected by the terrorist attacks in the State of Israel. These taxpayers now have until Oct. 7, 2024, to file various federal returns, make tax payments and perform other time-sensitive tax-related actions. In Notice 2023-71PDF, the IRS provided relief to certain taxpayers who, due to the terrorist attacks, may be unable to meet a tax-filing or tax-payment obligation, or may be unable to perform other time-sensitive tax-related actions. The IRS will continue to monitor events and may provide additional relief.
IRS slashes PTIN fee
October 05, 2023
The Internal Revenue Service is reducing the annual cost of a Preparer Tax Identification Number after a court ruled that the charge was too high.
IRS developing contingency plan as government shutdown looms
September 22, 2023
The IRS is developing a contingency plan for a probable government shutdown, the union that represents the Service's workers said in a statement Friday.
ERC abuse brings renewed push for regulation of paid tax preparers
September 21, 2023
Abuse of the employee retention credit (ERC) by aggressive promoters who make questionable promises has pushed Treasury to renew the call for the regulation of paid tax return preparers, an action that has the AICPA's support.
IRS to establish special pass-through organization to help with high-income compliance efforts; new workgroup to blend current employees and new hires to focus on complex partnerships, other key areas
September 20, 2023
As work continues to focus more attention onto high-income compliance issues, the Internal Revenue Service announced plans today to establish a special area to focus on large or complex pass-through entities.
IRS orders immediate stop to new Employee Retention Credit processing
September 15, 2023
To protect taxpayers from scams, the IRS has ordered an immediate stop to new Employee Retention Credit processing amid a surge of questionable claims, concerns from tax professionals, and aggressive marketing to ineligible applicants, posing unacceptable risk to businesses and the tax system.
IRS previews changes in R&D tax credit form
September 15, 2023
The Internal Revenue Service released a sneak peak Friday of some of the changes it's hoping to make to the form for claiming research tax credits.
IRS clarifies rules for new corporate alternative minimum tax
September 12, 2023
The Department of Treasury and the Internal Revenue Service today issued Notice 2023-64PDF to provide additional interim guidance designed to help corporations determine whether the new corporate alternative minimum tax (CAMT) applies to them and how to compute the tax.
IRS vows new enforcement efforts aided by AI
September 08, 2023
In what he described as "the start of sweeping, historic effort," IRS commissioner Danny Werfel announced a plan to focus more tax enforcement efforts on the wealthy and those who abuse the law. While some of the plans are familiar — such as auditing more millionaires — the specificity is new, particularly an announced focus on large partnerships.
Businesses must e-file Form 8300 for $10,000+ cash payments in 2024
August 31, 2023
Certain businesses that receive payments of over $10,000 in cash must file Form 8300, Report of Cash Payments Over $10,000 Received in a Trade or Business, electronically starting in 2024, the IRS said Wednesday in a news release (IR-2023-157). This new requirement applies to businesses that are required to file at least 10 information returns of one or more types other than Form 8300 in 2024.
IRS issues guidance on state tax payments
August 30, 2023
The IRS today provided guidancePDF on the federal tax status of refunds of state or local taxes and certain other payments made by state or local governments to individuals. The IRS previously provided guidance on state payments made in 2022 in news release IR-2023-23, IRS issues guidance on state tax payments to help taxpayers.
IRS announces administrative transition period for new Roth catch up requirement; catch-up contributions still permitted after 2023
August 25, 2023
Today, the Internal Revenue Service announced an administrative transition period that extends until 2026 the new requirement that any catch-up contributions made by higher‑income participants in 401(k) and similar retirement plans must be designated as after-tax Roth contributions.
Tax pros give mixed reviews to wait times, service on PPS line
August 25, 2023
Tax professionals are giving mixed reviews to the wait times and quality of service for the IRS's Practitioner Priority Service (PPS) line, especially since the Service ended its pilot program to thwart line-jumping companies at the end of March.
Location of millions of tax records uncertain, TIGTA says in IRS critique
August 11, 2023
The IRS is uncertain about what happened to millions of tax records with sensitive information that could be used "to commit tax refund fraud identity theft," the Treasury Inspector General for Tax Administration (TIGTA) said in a report posted Tuesday.
TIGTA faults IRS cybersecurity program on 3 out of 5 metrics
August 07, 2023
The Treasury Inspector General for Tax Administration said the IRS cybersecurity program should not be considered fully effective, as three out of five of the criteria outlined in the agency's framework were considered to be "not at an acceptable maturity level."
2023 tax software survey
August 01, 2023
The software that CPA tax preparers use to prepare clients' income tax returns is one of their most important professional tools. These products vary not only in such basic features as how tax return data is input and displayed but also in their adaptability to the myriad variations in tax clients' sources of income, deductions and credits, and other pertinent details. CPAs naturally take a keen interest in how performance of the products compares.
IRS launches paperless processing initiative
August 01, 2023
Taxpayers will have the option to go paperless for IRS correspondence by 2024 filing season, IRS to achieve paperless processing for all tax returns by filing season 2025.
In one minute, this simple tool could save practitioners hours
June 26, 2023
A few clicks of the mouse could save practitioners a ton of time by assisting them in determining whether they need to apply the requirements of AR-C Section 70, Preparation of Financial Statements, when their bookkeeping or accounting services result in financial statements.
Can ChatGPT answer your clients' questions?
June 01, 2023
AI such as ChatGPT is changing the world as we know it. As a practitioner, can it help you better serve your clients, support your staff, and prepare you and your practice for the future? Let's first take a look at what ChatGPT is as we attempt to answer these questions. We will then provide an example of a conversation between this powerful AI chatbot and a hypothetical client and let you be the judge.
EV tax credits prompt confusion, but opportunities remain
April 28, 2023
The narrow requirements for qualifying for the electric vehicle tax credits under the Inflation Reduction Act are causing some consternation in the auto industry, as they only seem to apply to a limited number of models, so accountants need to advise clients carefully about new vehicle purchases.