The short-term highway funding extension passed by the Senate contains several important tax provisions.
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TOPICS / PROCEDURE
Tax Planning; Tax Minimization
Special Deadline: Filing Amended Returns Reporting Tax Due Within 60 Days of Assessment Limitation
When a taxpayer files an amended return reporting additional tax within 60 days before expiration of the assessment limitation period, Sec. 6501(c)(7) provides that the period within which the IRS can assess the additional tax does not expire before the 60th day after the day on which it receives the amended return. This extension of the assessment limitation period applies only to the additional tax reported on the amended return.
Tax Reform for 2015: One Step Forward, Two Steps Back?
The 114th Congress started with talk of comprehensive tax reform, but actions to date hint a different ending may be in store.
Final Rules Govern Basis Reporting
The IRS issued final and temporary regulations that provide rules for brokers to report bond premium and acquisition premium as well as govern information reporting of transactions involving debt instruments and options, including the reporting of original issue discount on tax-exempt obligations, the treatment of certain holder elections for reporting a taxpayer’s adjusted basis in a debt instrument, and a new requirement to report transfers of Sec. 1256 options and debt instruments.
Rules for the Assessment Period for Undisclosed Listed Transactions Are Clarified
The IRS issued final regulations regarding the exception to the general three-year assessment limitation period for listed transactions that a taxpayer did not disclose as required under Sec. 6011.
Tax Reform, Lower Rates Among Top Legislative Goals, Ryan Tells AICPA
Rep. Paul D. Ryan, R-Wis., outlined his priorities since taking over House Ways and Means Committee leadership to members of the AICPA’s spring Council meeting in Washington.
IRS Considering Free Electronic Filing for Employment Tax Returns
In an attempt to address the low rate of e-filing of employment tax returns (currently 31%), the IRS announced that it is considering opening a free e-file program for businesses to e-file employment tax returns.
Tax Reform: Five Priorities to Remember
As a new Congress begins a fresh look at tax reform, the AICPA intends to stay engaged in the process and advocate on issues of particular interest to CPAs. Five areas deserve strong consideration in tax reform.
Final Regs. Provide Rules for Assessment Limitation Period for Undisclosed Listed Transactions
The IRS issued final regulations regarding the exception to the general three-year assessment limitation period for listed transactions that a taxpayer did not disclose as required under Sec. 6011.
Former Partner Liable for Trust Fund Penalty
A taxpayer who asserted he was no longer a partner in a business during the periods at issue was nevertheless held to be a responsible person and liable for the 100% penalty for failure to pay over withheld employment taxes.
Final Regulations Amend Broker Basis Reporting Requirements
The IRS issued final and temporary regulations that provide rules for brokers to report bond premium and acquisition premium as well as govern information reporting of transactions involving debt instruments and options.
IRS Considering Free E-Filing for Employment Tax Returns
The IRS announced that it is considering opening a free e-file program for businesses to e-file employment tax returns.
Tax Court Reforms Statute-of-Limitation Extensions
The Tax Court found that the IRS and the taxpayers made a mutual mistake on Forms 872, Consent to Extend the Time to Assess Tax, regarding the tax years for which the statute of limitation on assessment was being extended and reformed the forms to apply to the years that the IRS and the taxpayers intended to extend.
Employee Consent to Employment Tax Refunds Could Be Obtained Electronically
The IRS issued a proposed revenue procedure that would permit employers who file refund claims for overpaid FICA and RRTA taxes to obtain their employees’ consent to the refund claims electronically.
Most Outstanding Claims for FICA Tax Refunds Will Be Denied, IRS Announces
The IRS announced that it will disallow all refund claims filed while resolution of the issue of whether severance payments to employees are subject to FICA tax was pending, as well as the appeals filed in response to the denial of refund claims.
IRS Issues Revised 2014 and 2015 Passenger Automobile Depreciation Limits
The IRS issued revised numbers for the amount of depreciation taxpayers can take for the first year they use a passenger automobile (including a truck or van) for business in 2014 and the figures for 2015.
Codified Economic Substance Update: IRS Issues More Guidance
The IRS issued a notice providing additional guidance on the codified economic substance doctrine under Sec. 7701(o) and related penalty amendments.
Congress Enacts Last-Minute Extenders for 2014
The Senate passed a bill to retroactively extend more than 50 expired tax provisions through 2014, by a vote of 76-16 on the evening of Dec. 16. The extender bill passed the House of Representatives on Dec. 3, and was signed by President Barack Obama on Dec. 19.
Details of the President’s State of the Union Tax Proposals
President Barack Obama used Tuesday’s State of the Union address to announce that he will propose tax increases for higher-income individuals and provide tax relief for middle-class taxpayers.
IRS Analyzes Whether Third-Party Employment Tax Returns Are Sufficient to Start Assessment Statute of Limitation
The Office of Chief Counsel analyzed whether an employment tax return prepared and filed by a third party on behalf of an employer was sufficient to commence the period of limitation on assessment for the employer under Sec. 6501.
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.
