Revised draft instructions for partnership and S corporation Schedules K-2 and K-3 contain significant changes to the requirements to qualify for the domestic filing exception for filing and furnishing the 2022 schedules.
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IRS Practice & Procedure
Automatic stay not terminated by confirmation of bankruptcy plan
An automatic stay in Tax Court is not lifted by the confirmation of a bankruptcy plan;
Despite unanswered questions, Tax Court ends long-running case
The Tax Court enters a new decision in a case despite an ambiguous appellate court mandate
Clean energy project prevailing wage rate and apprenticeship requirements issued
The IRS releases guidance on wage and apprenticeship requirements for enhanced tax benefits under clean energy provisions of the Inflation Reduction Act.
AICPA recommends changes to IRS draft revisions for Schedule UTP
The AICPA said the current draft of Schedule UTP, Uncertain Tax Position Statement, places a “significant burden” on both taxpayers and practitioners.
TIGTA: Taxpayers would benefit if IRS used digital communications tools appropriately
An audit report from TIGTA says taxpayers would benefit if the IRS used digital communications tools appropriately. The IRS challenged much of the audit report, including saying that TIGTA didn’t understand some of the agency’s objectives for its digital communications program.
Congressional report criticizes contractor used by IRS during pandemic
The statement says ID.me inflated the amount of work it could provide and the amount of federal dollars lost to pandemic fraud, the latter in an effort to increase demand for its services. In his response, the CEO says he would not use such a crisis to help his company.
For the IRS to-do list: Build trust with Congress, use clearer language with taxpayers
The IRS Advisory Council issued a report Wednesday that emphasized recurring themes such as the need for consistent and multiyear funding and the importance of effective communication with taxpayers.
One deadline approaches for over 9 million eligible for pandemic-era benefits
In October, the IRS said it would leave Free File open for an extra month, until Thursday, so eligible taxpayers can claim their share of several benefits including the 2021 recovery rebate credit, the child tax credit, and the earned income tax credit.
National taxpayer advocate: 2022 could be ‘Groundhog Day’ for IRS backlog
National Taxpayer Advocate Erin Collins writes on her blog that there’s little time left for the IRS to clear its backlog by end of 2022 as the IRS commissioner promised Congress earlier this year.
Plan approval program expands to Sec. 403(b) retirement plans
The IRS and Treasury will allow churches, public schools, and charities with Sec. 403(b) retirement plans use the same individually designed retirement plan determination letter program that qualified retirement plans use.
Practitioner Perspectives series to continue within IRS Appeals
The Practitioner Perspectives series will continue at the IRS Independent Office of Appeals as part of the office’s focus guide for fiscal year 2023. During the series, tax practitioners share insights and feedback with Appeals employees.
IRS seeks comments on several green energy tax credits
The IRS asks for comments by Dec. 3 on tax credits included in the Inflation Reduction Act, including the commercial clean vehicles provision.
National taxpayer advocate has concerns about $400,000 audit promise
National Taxpayer Advocate Erin Collins expressed concern for voluntary compliance amid Treasury’s promise that increased IRS funding will not be used to audit people earning under $400,000. She spoke during a session at the annual AICPA & CIMA National Tax Conference.
Past commissioners set optimistic tone for next IRS commissioner in AICPA panel
Two former IRS commissioners addressed the agency’s issues at an AICPA panel and sounded a note of optimism for the future, based on new funding and pending technology improvements.
Practice and policy insights from academic tax research
Federal, state, and international tax issues are often examined, as well as the impact of nontax developments on tax policy and behavior.
Distribution of risk in captive insurance companies
This item discusses the requirement that captive insurance companies must sufficiently distribute their risks for an arrangement to be considered insurance for federal income tax purposes.
Growing tax gap shows need for better service, compliance, IRS says
The difference between taxes owed and taxes paid was $496 billion annually for tax years 2014 through 2016, and that figure is likely to grow, the IRS said.
IRS hires 4,000 customer service reps, plans to hire 1,000 more
The IRS announced that it has hired new customer service representatives, who will be trained to provide help to taxpayers in time for the 2023 tax season.
New process provided for anonymous reporting of ERC mills
In a move the AICPA supports, the IRS is providing a new way to make anonymous reports about third-party vendors promoting improper claims for the employee retention credit.
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.
