The IRS’s sending of about 1.4 million CP53E notices sparked concerns about errors and fraud. A release from the Taxpayer Advocate Service urged taxpayers to verify their accounts directly on IRS.gov.
Advertisement
TOPICS
IRS Practice & Procedure
IRS announces terms of new conservation easement settlement opportunity
The terms of the new, time-limited settlement opportunity include the type and amount of deduction that eligible taxpayers will be allowed and the penalty rate that will apply.
Another settlement offer planned in IRS conservation easement cases
With hundreds of cases in the courts, the IRS is preparing at least its fourth settlement offer in syndicated conservation easement cases in recent years.
CP53E notice tied to paper-check transition causes confusion
Taxpayers and practitioners are unsure whether the CP53E notices they have received are scams or simply sent in error, a confusion heightened by the inclusion of a QR code.
IRS establishes program for rulings on significant issues
The IRS is reinstating the practice of issuing these letters in response to numerous informal comments from taxpayers and practitioners regarding the time required to process letter ruling requests and the scope of those requests.
Hedge funds: Tax structuring, planning, and compliance
Hedge funds may face tax issues of entity structuring, carried interest, management fee waivers, and trading-related rules. This article highlights planning strategies and compliance considerations as the IRS continues to increase its scrutiny of these investment vehicles.
Unlocking efficiency and reducing risk: How automation and AI are transforming tax reporting and withholding functions
Taxing authorities’ use of these new tools and capabilities requires corresponding adoption by tax professionals.
Navigating tax controversy strategies amid IRS operational challenges
Practitioners must leverage available technology, build effective communication strategies, and maintain comprehensive documentation of their interactions with the Service.
Assessment of tax for excess APTC payments is invalid
The Tax Court advised a taxpayer that filing a second petition would not allow another IRS Collection Due Process review.
Does an EIN/name mismatch invalidate a refund claim?
Arguments using the ‘informal claim doctrine’ and/or a taxpayer assistance order with the Taxpayer Advocacy Service may help taxpayers whose refund claims are stymied by a mismatch caused by an incorrect employer identification number.
IRS offers extension option for taxpayers facing ERC claim deadlines
Taxpayers meeting eligibility rules can now use Form 907 to preserve their right to challenge ERC disallowances while the IRS continues its review.
IRS to update Form 990 amid transparency push for nonprofits
A Treasury release said the changes are intended to “strengthen tax administration” and provide clearer reporting on the activities of tax-exempt organizations. No timeline was announced.
IRS launches online tool to help taxpayers manage tax debt
Taxpayers can explore payment plans, collection delays, or compromise offers through a streamlined, privacy protected tool.
IRS flagged FATCA noncompliance but followed up with few exams, penalties
TIGTA found the IRS spent hundreds of millions on FATCA oversight while examining only a handful of high-value foreign account cases.
Uncredentialed tax preparer errors included fictitious deductions, review shows
A report from the Center for Taxpayer Rights comes as Congress considers giving the IRS more oversight of the industry.
IRS finalizes deduction rules for tips, adds 3 eligible jobs
The final IRS regulations expand the tips deduction to 71 occupations and clarify rules on qualified tips, digital payments, and automatic gratuities.
Expansion gives millions of entities access to business tax accounts
The IRS said Monday it is opening the online, self-service accounts to partnerships, Indian tribal governments, tax-exempt organizations, and federal, state, and local governments.
IRS tapped Inflation Reduction Act funds to cover 2025 filing season, watchdog says
TIGTA found the IRS spent $4.8 billion in Inflation Reduction Act funds, which were intended to supplement its annual appropriation, on labor and IT to keep the 2025 tax season on track.
IRS’s rejection of marijuana dispensary’s offer in compromise upheld
A marijuana dispensary’s expenses not deductible under Sec. 280E are not taken into account in calculating its reasonable collection potential.
Right to jury trial does not apply to accuracy-related penalties
Seventh Amendment right to jury trial does not apply to Sec. 6663 accuracy-related penalties.
TAX PRACTICE MANAGEMENT
2025 tax software survey
AICPA members in tax practice assess how their return preparation software performed during tax season and offer insights into their procedures.
