AICPA recommends changes to e-signature requirements
In a letter to the IRS, the AICPA asked the IRS to permanently amend its electronic signature procedures to make it easier for taxpayers and practitioners to e-file all types of returns.
Tax
Qualified opportunity zone rules are relaxed
In response to the COVID-19 pandemic, the IRS further postponed the 180-day deadline to invest in a qualified opportunity fund from July 15, 2020, to Dec. 31, 2020, extended other deadlines, and relaxed some qualified investment rules.
IRS permits remote signatures for plan loan consents
In another response to the COVID-19 pandemic, the IRS is allowing retirement plan participants who want to take coronavirus-related distributions from their retirement plans to provide remote signatures, even for spousal consents.
Chartering vessel to decommission oil and gas wells is ECI
Continental shelf activities are nonexempt under the US—UK treaty, the Tax Court holds.
Taxpayers’ petition to the Tax Court was untimely
A USPS postmark trumps a non-USPS postmark when a mailing has both.
Financial planning strategies for depressed asset values
Consider these financial planning strategies in a period of low interest rates and high volatility.
Look before you leap into a 529 plan
Circumspection is called for in funding students’ higher education.
Line items
IRS disagrees with Paychex holding ... OIC fee is higher, but with more low-income assistance ... KPMG director is named national taxpayer advocate
E-filing of Form 1040-X coming this summer
The IRS announced that taxpayers will be able to electronically file Forms 1040-X, Amended U.S. Individual Income Tax Return, later this summer.
Final regs. address reporting by tax-exempt organizations
The IRS finalized regulations permitting tax-exempt organizations other than Sec. 501(c)(3) orgs. to omit the names of substantial donors when filing Forms 990.
Premium tax credit unaffected by personal exemption decrease to zero
The IRS issued proposed regulations explaining how taxpayers who may qualify for the Sec 36B premium tax credit are affected by the temporary reduction of the personal exemption deduction under Sec. 151 to zero.
HSA contribution limits increase for 2021
The IRS issued its annual inflation-adjusted contribution limits for contributions to health savings accounts permitted to participants in high-deductible health plans. Most of the amounts increased slightly over the 2020 amounts.
IRS mobilizing 3,500 phone operators to answer stimulus questions
With many taxpayers still having problems using the Internal Revenue Service’s “Get My Payment” website, the IRS announced that it is mobilizing 3,500 telephone representatives to answer some of the most common questions about economic impact payments.
New conflict-of-interest guidelines for tax services
AICPA rules are expanded to cover situations that arise in all tax services, not just federal tax services.
IRS grants relief for COVID-19 disruptions on tax residency
Time rules are eased for the substantial presence test for foreign citizens in the US and the foreign earned income exclusion for US citizens abroad.
Deducting home office expenses
Help tax clients fulfill exacting requirements.
IRS explains how nonfilers can receive economic impact payments
Individuals not required to file a return can use a tool on the IRS website or file a special 2019 return.
IRS posts FAQs on paid COVID-19-related sick and family leave
Employer tax credits for small businesses are provided under the Families First Coronavirus Response Act.
COVID-19 tax guidance for businesses
The IRS provided guidance on how businesses can take advantage of CARES Act tax provisions.
Final regs. clarify when interest in corporation is stock vs. debt
The IRS has issued final regulations addressing when certain related-party interests in corporations should be treated as stock vs. debt.
