INDIVIDUALS
IRS did not err in determining a taxpayer had a seriously delinquent tax debt
The Tax Court held that the IRS did not err in certifying that an individual taxpayer had a seriously delinquent tax debt within the meaning of Sec. 7345(b). In doing so, the court rejected the taxpayer's groundless argument that, because the IRS failed to send him statutory notices of tax deficiencies for five of the six tax years underlying the IRS's certification, he owed no tax for those years and his remaining tax debt was not large enough to constitute a seriously delinquent tax debt. The court also refused to address the constitutionality of any action by the secretary of State with respect to the taxpayer and ordered the taxpayer to show cause as to why the court should not sanction him under Sec. 6673(a) for advancing the groundless argument that the IRS had not sent him deficiency notices. Kaebel, T.C. Memo. 2021-109 (9/9/21).
IRS PROCEDURE
IRS issues guidance on reporting 2021 qualified sick and family leave wages
The IRS issued guidance to employers on the requirement to report qualified sick leave wages and qualified family leave wages paid to employees under the Families First Coronavirus Response Act, P.L. 116-127, as amended by the Consolidated Appropriations Act, 2021, P.L. 116-260, and under Secs. 3131, 3132, and 3133, for leave provided in 2021. Employers will be required to report these amounts to employees either on Form W-2, Box 14, or in a separate statement provided with the Form W-2. Notice 2021-53 (9/7/21) (see related news story).
Regs. on recapture of excess employment tax credits under the American Relief Plan Act
The IRS issued temporary and proposed regulations authorizing the recapture of excess paid sick and family leave tax credits under Secs. 3131, 3132, 3133, and 3134. T.D. 9953; REG-109077-21 (9/8/21).
Tax relief available to Hurricane Ida victims in New York and New Jersey
The IRS announced that victims of Hurricane Ida in parts of New York and New Jersey now have until Jan. 3, 2022, to file various individual and business tax returns and make tax payments. IR-2021-179 (9/8/2021).
Hurricane Ida victims in Mississippi eligible for tax relief
The IRS announced that victims of Hurricane Ida in parts of Mississippi now have until Nov. 1, 2021, to file various individual and business tax returns and make tax payments. IR-2021-180 (9/9/21).
IRS announces tax relief for North Carolina victims of remnants of Tropical Storm Fred
The IRS announced that victims of remnants of Tropical Storm Fred that began Aug. 16, 2021, now have until Dec. 15, 2021, to file various individual and business tax returns and make tax payments. NC-2021-01 (9/10/21).
Business meal deductions after the TCJA
Quirks spurred by COVID-19 tax relief