Treasury and the IRS proposed regulations for the education freedom tax credit, a new federal credit under Sec. 25F for contributions to organizations that provide scholarships to eligible elementary and secondary schools.
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PCAOB shares agendas for rulemaking, research
The agenda features projects on negative assurance related to comfort letter engagements, auditor independence, fraud, noncompliance with laws and regulations, and going concern. Also, the SEC is considering whether to add the CPA credential as a pathway to accredited investor qualification.
Senate approves taxpayer-focused reforms backed by AICPA
The Senate unanimously approved the Taxpayer Assistance and Service Act, a bipartisan package of 65 tax administration reforms backed by the AICPA. The measure now moves to the House.
IRS changes course to allow automatic Trump account enrollment
Treasury and the IRS issued proposed and temporary regulations providing for automatic enrollment in Trump accounts after developing a structure they said overcame barriers that previously stymied the move. Treasury estimated the approach could create more than 60 million additional accounts.
GAO tax fraud estimate puts annual losses at up to $304 billion
A first-of-its-kind GAO analysis estimates annual federal tax fraud losses at $116 billion to $304 billion. The report said that the IRS needs a coordinated antifraud strategy. The IRS partially agreed with the recommendations but disputed aspects of the report’s methodology.
IRS launches mobile app with expanded account access
After 15 years as IRS2Go, the IRS’s taxpayer app now offers expanded access to account services under a new name. The IRS said it expects to add more capabilities to the app over time.
Identity theft victims waited 20 months for IRS case resolution
A TIGTA report found that IRS delays in resolving identity theft cases cost the government $124.2 million in refund interest from fiscal years 2023 through 2025. The findings echo warnings from National Taxpayer Advocate Erin Collins, who has called the wait times “unconscionable.”
GASB issues guidance for its reporting model related to subsidies
New questions and answers aim to assist stakeholders with financial reporting requirements related to subsidies in Statement No. 103, Financial Reporting Model Improvements. GASB also seeks feedback on a model for voluntary digital reporting.
IRS finalizes increase in estate tax closing letter fee
The IRS issued final regulations increasing the cost of an estate tax closing letter to $76 from $56, adopting without change proposed regulations issued in June.
IRS raises per diem rates for business travel effective Oct. 1
In its annual update, the IRS increased the special per diem rates taxpayers may use to substantiate business travel expenses for the upcoming travel year and updated its list of high-cost localities.
FASB proposes update to residential mortgage servicing rights guidance
Feedback on the proposal, which addresses stakeholder concerns, is being accepted through Nov. 9.
AICPA, former IRS commissioner to lead initiative on AI in tax
Participants in the Council on AI Risk in Tax, led by the AICPA and former IRS commissioner Danny Werfel, include leaders from all areas of the tax world who will work together to promote the responsible use of AI in tax administration and practice.
IRS cyber weaknesses put taxpayer data at risk again, TIGTA says
For the second consecutive year, a government watchdog found the IRS’s cybersecurity program ineffective. TIGTA warned that taxpayer data could be vulnerable if security weaknesses are not addressed.
Unclear instructions, limited awareness plagued CP53E rollout, TIGTA says
Many CPAs and their clients experienced confusion over IRS CP53E notices during the 2026 filing season. A TIGTA report confirms those concerns and sheds new light on how the IRS implemented its paperless-payment initiative.
Government says Kwong court misread COVID tax relief law
In its opening brief to a federal appeals court Wednesday, the federal government said a lower court ruling in Kwong improperly turned a 60-day extension into a postponement period lasting over three years.
Driving efficiency or driving workers toward burnout? How AI is being used
Nearly two-thirds of employees in a global survey said their company is more interested in using artificial intelligence to create efficiency than to add value, leading many to feel like they’re doing two jobs while struggling to find time to produce meaningful results.
IRS delayed action on thousands of high-income nonfiler cases, TIGTA says
A TIGTA report found that nearly 39,000 high-priority nonfiler cases were delayed in the IRS’s high-income nonfiler initiative because of resource concerns. The IRS said it has since advanced all affected cases.
AICPA members to vote on two proposed bylaw amendments this fall
Voting will open later this fall on amendments addressing AICPA volunteer term dates and AICPA membership eligibility requirements.
FASB updates investment company fair value reporting standard
The amendments address stakeholder concerns that current GAAP guidance doesn’t consider a contractual restriction on the sale of an equity security when measuring the fair value of that security.
PCAOB finalizes simplified quality control amendments
QC 1000, A Firm’s System of Quality Control, will be effective Dec. 15 and could serve as the basis for the PCAOB’s future approach to inspections of public company compliance.
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