IRS Practice & Procedure

TOPICS

June 1, 2019

Tax time travel: Securing relief from unforced errors, missed elections, and other mistakes

This item provides a quick overview of several tools available to taxpayers who have made mistakes.

June 1, 2019

Future mineral production advance payments may be sooner than you think

The TCJA revised Sec. 451(c), changing the timing of taxation for certain advance payments, including advance payments for future mineral production
and delivery.

May 31, 2019

IRS issues draft of revised Form W-4 for 2020

The new draft form, which has been extensively redesigned, is intended to simplify the calculation of income tax withholding after the changes made by the law known as the Tax Cuts and Jobs Act.

May 17, 2019

IRS corrects error in Schedule D tax calculation worksheet

The IRS notified tax software companies that it had discovered an error in the Schedule D, Capital Gains and Losses, Tax Worksheet used to calculate the tax on certain capital gains that had new rates as a result of the law known as the Tax Cuts and Jobs Act.

May 14, 2019

IRS extends filing deadlines for CCH customers

The IRS announced that taxpayers affected by the recent Wolters Kluwer service outage who are facing May 15 filing deadlines can follow certain procedures to obtain reasonable cause waivers for failing to file on time.

May 1, 2019

Impact of Sec. 199A in computing substantial-understatement penalties

An erroneously claimed qualified business income deduction under Sec. 199A can expose a taxpayer
to a substantial underpayment penalty.

May 1, 2019

Key tax reform provisions affecting sports franchises

This discussion focuses on two notable business provisions in the TCJA affecting sports franchises: new like-kind exchange provisions under Sec. 1031 and the QBI deduction under Sec. 199A.

May 1, 2019

Payment of an award for lost working time is taxable compensation

An award of wages for working time lost due to an injury on the job is taxable compensation under the Railroad Retirement Tax Act.

May 1, 2019

IRS can again charge preparers for PTINs

The IRS has authority to charge a fee for obtaining or renewing preparer tax identification numbers.

May 1, 2019

New due-diligence standards for head-of-household filing status

The TCJA and the PATH Act expanded the penalties on tax return preparers who fail to follow due-diligence procedures when clients claim certain credits or head-of-household filing status.

May 1, 2019

Form 8995 will be used to calculate QBI deduction for 2019 tax returns

The IRS posted a draft of a form that affected taxpayers will submit with their 2019 tax returns showing how they computed their qualified business income (QBI) deduction under Sec. 199A.

May 1, 2019

D.C. Circuit reinstates IRS PTIN fee

The IRS has authority to charge a user fee for preparer tax identification numbers, a federal appeals court held, paving the way for the agency to reinstate the charges for obtaining and renewing a PTIN.

April 11, 2019

Safe harbor issued for valuing pro sports trades

The IRS will permit professional sports teams that trade player contracts to recognize zero gain if both parties to the exchange adopt the safe harbor and do not exchange cash.

April 11, 2019

AICPA asks government to issue more QBI deduction guidance

The AICPA asked Treasury and the IRS to issue additional guidance on Sec. 199A beyond the recently finalized regulations and a proposed revenue procedure in the form of a notice on a safe harbor for rental real estate.

April 1, 2019

Don’t let clients get grounded by a tax debt

CPAs can advise clients on the proper measures to take to address delinquent taxes so the debt does not result in a passport revocation.

March 28, 2019

Traps for the unwary: Tax Cuts and Jobs Act changes

This article lists the changes together, along with some unexpected nuances.

March 27, 2019

Procedure for obtaining EINs to change May 13

Beginning May 13, the IRS will accept employer identification number (EIN) applications only from individual taxpayers who have either a Social Security number or an individual taxpayer identification number as the responsible party on the EIN application.

March 26, 2019