May 2016

May 31, 2016

IRS Slashes Application Fee for Small Exempt Organizations

The fee to use the popular Form 1023-EZ will be lowered, starting July 1.

May 26, 2016

AICPA Members Weigh In on IRS Service Levels

Problems included trouble getting through on the phone and trouble reaching IRS representatives who could answer their questions. Written communications with the agency were another source of frustrations.

May 25, 2016

Mary Kay Sales Consultant’s Retirement Payments Subject to Self-Employment Tax

The Eleventh Circuit Court of Appeals held that payments a retired Mary Kay sales consultant received from the cosmetics company were subject to self-employment taxes because they were payments of deferred compensation.

May 18, 2016

Final Regulations Change Allocation Rules for Roth IRA Rollovers

The regulations allow taxpayers to allocate pretax amounts to direct rollovers, rather than having to make pro rata allocations.

May 17, 2016

IRS Future State Is Not a One Size Fits All

Nina Olson, the national taxpayer advocate, heard from tax practitioners and taxpayer groups on how the IRS can modernize its taxpayer services.

May 17, 2016

CPAs Helping Guide Tax Administration and Affecting Tax Policy

As it works through a long list of priorities and plans for its “future state,” the IRS should look to CPAs, who based on their experience can provide a unique viewpoint.

May 6, 2016

Prop. Regs. Would Impose Reporting Requirements on Foreign-Owned Disregarded Entities

Foreign-owned disregarded entities, such as LLCs, would be required to report transactions with their owner and keep records under rules proposed by the Internal Revenue Service.

May 5, 2016

New Revenue Procedure Updates List of Automatic Accounting Method Changes

The IRS updated the procedures taxpayers must use to make automatic changes in accounting method.

May 4, 2016

LB&I Expands Prefiling Agreement Program

This program is intended to resolve, before an LB&I taxpayer’s tax return is filed, issues that are likely to be disputed in post-filing audits.

May 3, 2016

Regulations Clarify: Partners Cannot Be Employees

The IRS issued temporary regulations clarifying that partners in a partnership that owns a disregarded entity cannot be treated as employees of the disregarded entity.