Advice

The art of estate planning is affected by a number of variables that change over time. The currently low-interest-rate environment and the imminent return of a lower estate tax exemption are among the factors shaping estate planning today. A sale to an intentionally defective grantor trust is one vehicle which works well to transfer wealth
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National Taxpayer Advocate Erin Collins released her first report to Congress Monday, discussing some of the difficulties confronting taxpayers and the IRS during the COVID-19 pandemic, which has only exacerbated problems with taxpayer service as the IRS struggled to implement the provisions of the CARES Act and the Taxpayer First Act. Collins took over from
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The IRS initiated 71% fewer corporate audits this spring compared with the same time period a year ago as the coronavirus pandemic halted many agency operations. The Internal Revenue Service began 718 corporate audits from April 1 to June 1 this year, compared with 2,445 in 2019, according to a National Taxpayer Advocate report released
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Treasury Secretary Steven Mnuchin said he may consider a second extension in the U.S. tax filing deadline as the coronavirus pandemic continues. “It’s something I’m thinking about,” he said Tuesday during a Bloomberg Invest Global virtual event. “As of now I’m not intending on doing that, but it’s something we may consider.” The delay would
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Taxpayers who are owed a refund may also get a second check this year if they took advantage of the July 15 extended filing deadline, according to the Internal Revenue Service. Individuals eligible for a refund who didn’t receive one by April 15 will get paid interest, accruing from the original April filing deadline to
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Bug in the system, again; the category is fraudster; pit stop; and other highlights of recent tax fraud cases. Rocky Mount, North Carolina: Preparer Bertha Battle, a.k.a. “Bug,” 40, has pleaded guilty to conspiracy to prepare and file false returns. Battle conspired to file false returns for the 2013 through 2016 tax years for clients
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The Electronic Tax Administration Advisory Committee released its annual report to Congress on Wednesday, featuring recommendations that focus on the prevention of identity theft and refund fraud. ETAAC’s primary focus continues to be on the fight against ID theft-related tax refund fraud, improving cybersecurity and enabling electronic tax administration while protecting taxpayer information, the 2020
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Any taxpayer who already took a required minimum distribution in 2020 from certain retirement accounts can now roll those funds back into a retirement account following the CARES Act RMD waiver for 2020. The 60-day rollover period for any RMDs already taken this year has been extended to Aug. 31. The CARES Act enabled any
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The tax issues involved in making nonresidential property improvements have been in a state of confusion since the enactment of the Tax Cuts and Jobs Act at the end of 2017. The TCJA had intended to combine leasehold improvement property, retail improvement property, and restaurant property under the title of Qualified Improvement Property and make
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The U.S. Supreme Court refused to question a ruling that technology companies including Facebook Inc. and Google say will cost them billions of dollars in taxes by limiting deductions for stock payments to employees. The justices without comment Monday turned away an appeal by Intel Corp.’s Altera unit, which challenged an Internal Revenue Service regulation
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