The IRS issued a ruling explaining when a taxpayer can exclude cancellation-of-debt income for debt forgiven in connection with property held in a real property trade or business.
Damages received for wrongful incarceration are now specifically excluded from an individual's taxable income.
The limits for passenger vehicles are lower than they were in 2015, but the values for vans and trucks increased slightly.
The taxable portion of college scholarships may be unearned income and subject to the kiddie tax.
Rescission doctrine did not allow a taxpayer to exclude from income $400,000 she received under a fraudulently induced agreement with her elderly boyfriend that she was later forced to repay.
This article covers recent developments in the area of individual taxation arranged in Code section order.
The IRS issued the 2016 inflation-adjusted amounts for the maximum vehicle values for purposes of determining the amount that is included in employees’ income for personal use of an employer-provided vehicle.
Local Lodging Provided to an Employee: How to Determine Whether to Include It in the Employee’s Income
Local lodging typically goes unnoticed from a payroll perspective.
The IRS announced that students who attended schools owned by Corinthian Colleges Inc. and whose debt is discharged under certain Department of Education programs will not have to recognize income on the discharged debt.
This article provides an overview of the net investment income tax calculations for individuals and trusts.
One strategy is to alleviate the net investment income tax to fund healthcare is to focus on a taxpayer’s level of participation in an activity so that income may be characterized as nonpassive and thus not subject to the tax.
The announcement applies to anyone whose personal information may have been compromised in a data breach, including customers, employees, and others.
A recent Tax Court decision sheds light on the importance of lease terms to determine what is rent and how Sec. 467 may apply to advance rents.
Consideration for earnout may be based on a seller's willingness to provide a level of service that results in the transfer of the business interest and relationships to the buyer.
The Tax Court ruled that a woman who received payments for undergoing the procedures necessary to donate her eggs could not exclude the payments from gross income as damages for personal injuries or physical sickness under Sec. 104(a)(2).
The Tax Court held that part of a payment made to a company's co-founder and employee in a merger transaction was deferred compensation that was taxable as ordinary income.
Under Sec. 6050P and its regulations, cancellation-of-debt (COD) income of $600 or more must be reported on Form 1099-C when any of eight identifiable events occur.
The Seventh Circuit held that an atheist group and two of its members did not have standing to challenge the Sec. 107(2) parsonage exemption because the members had never actually tried to claim the exemption and had therefore suffered no injury.
The IRS advised that gambling winnings that a taxpayer surrenders to a state as part of a program intended to help treat gambling addiction do not have to be reported by a casino to the taxpayer on Form W-2G and are not includible in gross income by the taxpayer.
Shareholders recognize a taxable dividend to the extent a distribution is paid out of corporate earnings and profits. If the distribution exceeds E&P, the excess reduces the shareholder's stock basis. Any amount in excess of the shareholder's stock basis is capital gain.