Individual Income Taxation

TOPICS

November 1, 2021

Male couple cannot deduct medical expenses related to having a baby

The IRS ruled against the deductibility of medical expenses arising from the couple’s use of gestational surrogacy, in vitro fertilization procedures, and related items.

October 28, 2021

Finding the right capital gains tax strategy for your client

With potential tax hikes looming, CPAs can help clients manage capital gains taxes with the right strategy.

October 15, 2021

IRS addresses taxpayer reliance on FAQs, will save copies of old FAQs

Taxpayers who reasonably rely on FAQs posted by the Internal Revenue Service will have a reasonable-cause penalty defense under a new policy announced by the agency on Friday. The IRS will also keep original versions of FAQs on its site after it updates them.

October 13, 2021

Social Security wage base, COLA set for 2022

The Social Security Administration announced the maximum amount of wages subject to Social Security tax in 2022 and a cost-of-living adjustment for Social Security benefits.

October 1, 2021

Advance child tax credits

The newly expanded child tax credit creates opportunities for advising clients on direct payment opt-outs and avoiding surprises on 2021 tax returns.

October 1, 2021

The difference between employees and independent contractors

The gig economy further complicates the distinction between employees and independent contractors.

September 23, 2021

IRS guidance denies ERC for most majority owners’ wages

The IRS’s release of Notice 2021-49 provides employers with additional guidance on issues of the employee retention credit.

September 13, 2021

Ways and Means releases list of tax provisions for budget bill

The proposal would raise tax rates for corporations and individuals and make many other changes to the Internal Revenue Code.

September 3, 2021

IRS updates business travel per-diem rates

The allowances for determining deductions for lodging, meals, and incidental costs are slightly higher than before.

September 1, 2021

Illinois PTE tax would provide SALT cap workaround

This item discusses Illinois Legislature’s S.B. 2531, which includes a PTE tax that allows a workaround to the federal $10,000 limitation for state and local tax deductions.

September 1, 2021

Individual tax update

This semiannual update surveys recent federal tax developments involving individuals.

September 1, 2021

FAQs address ARPA credits

The IRS has posted two sets of FAQs that explain changes to the child and dependent care credit and to the sick and family leave credits made by the American Rescue Plan Act.

September 1, 2021

Farming losses clarified

The IRS in Rev. Proc. 2021-14 specifies procedures regarding limitation and carryback of net operating losses from farming in light of CARES Act provisions.

September 1, 2021

Supersized ‘Dirty Dozen’ highlight top tax tricks and abuses

Hijacking of economic impact payments and unemployment checks are spotlighted in the IRS’s annual alert, which warns taxpayers of the most prevalent scams and schemes the Service has identified.

September 1, 2021

Donor has no standing to sue donor-advised fund

A suit challenging the actions of a donor-advised
fund by a donor to the fund was dismissed because the plaintiffs lacked standing.

August 26, 2021

AICPA recommends QBI improvements

The AICPA recommended in a letter to Senate tax-writing leaders eight ways to improve the deduction for qualified business income under Sec. 199A.

August 1, 2021

Commercial real estate: Debt restructuring and planning

As many companies continue to work remotely and demand for office space dries up, landlords and banks may be forced to renegotiate debt agreements or foreclose on assets, which could have significant tax consequences.

August 1, 2021

Gold and bitcoin: Tax implications of physical and virtual mining

The income tax results of digitally mining bitcoin and physically mining gold are significantly different. This article compares and contrasts the tax treatment of these two types of mining operations.

August 1, 2021

The current state of evolution of cryptoasset taxation

Recently released IRS Chief Counsel Advice targeted at the BTC/BCH hard fork also provides insight into how the IRS may evaluate more complex cryptoasset transactions.

August 1, 2021

Budget and Greenbook detail Biden’s tax proposals

The proposed $6 trillion fiscal year 2022 budget unveiled by the Biden Administration includes a host of tax items, including proposals to raise the corporate tax rate, raise the top tax rate for high-income individuals, limit like-kind exchanges, and make permanent recent temporary changes to various tax credits.