IRS proposes to amend estate and gift tax basic exclusion regs.
Exceptions to the special rule allowing the temporarily higher basic exclusion amount to apply to gifts credited against estate tax.
Tax
Supreme Court holds Tax Court not bound by petition filing deadline
The 30-day limit under Sec. 6330(d) for petitioning the Tax Court to review an IRS determination is nonjurisdictional and can be equitably tolled, the Court holds in the case of a taxpayer whose petition was one day late.
IRS funding, technology assessed in House hearing
IRS Commissioner Charles Rettig and National Taxpayer Advocate Erin Collins testify to the House Oversight and Reform Committee.
Treasury equity action plan reports progress
The tax implications of the Biden administration’s policy of advancing racial equity and support for underserved communities across the government are outlined.
Superfund taxpayers granted failure-to-deposit penalty relief
The IRS also assures payers of the reinstituted excise taxes that they will not lose a deposit safe harbor in early 2023.
SALT cap challenge is denied Supreme Court review
The $10,000 limitation on deducting state and local taxes stands after the Supreme Court refused to review a long-running lawsuit by New York and three other states.
IRS’s FATCA enforcement fell short, TIGTA says
Initial plans for the Foreign Account Tax Compliance Act’s regime of reporting US taxpayers’ foreign bank accounts and other financial assets largely have stalled, the Treasury Inspector General for Tax Administration reports.
More Schedule K-2 and K-3 FAQs posted
In eight new FAQs on its website, the IRS covers some special issues, including several that it says will be added to the forms’ instructions.
Letters from IRS to warn taxpayers about possible QOF actions needed
The IRS is sending letters to taxpayers who may need to take additional actions related to qualified opportunity funds .
Acute IRS challenges had chronic origins, GAO reports
The US Government Accountability Office draws lessons for the IRS in handling taxpayer return errors, processing those returns more timely and serving taxpayers’ needs.
NTA calls for more time to contest denial of refund or credit claim
National Taxpayer Advocate Erin Collins recommended a temporary postponement of the two-year time limit for taxpayers to file a lawsuit.
IRS commissioner to senators: ‘Our efforts are working’
Charles Rettig briefs members of the Senate Finance Committee on tax filing season and the road ahead.
IRS eases application process for US residency certification
New procedures will facilitate residency certification where the Internal Revenue Service has not yet processed the applicant’s tax return.
Proposed regulations revise premium tax credit’s affordability test
The existing benchmark of self-only coverage “unduly weakens” the purpose of the Affordable Care Act, the IRS and Treasury say, noting a presidential executive order to strengthen and protect the act.
Losses from millionaire’s donkey breeding allowed
A taxpayer convinces the Tax Court he entered into the activity for profit despite not making one and having substantial other income.
Mortgage interest credit aids first-time homebuyers
The subsidy improves affordability for lower-income families.
Line items
IRS identifies paused taxpayer notices ... Tax pros share IRS service challenge stories, solutions ... IRS backs away from facial recognition ... ‘Quick’ carryback tax refunds took nearly double the 90-day deadline
National taxpayer advocate directs IRS to implement scanning technology
Erin Collins tells the Internal Revenue Service to implement common scanning technologies to help reduce a backlog of 15 million returns.
‘SECURE 2.0’ would further expand retirement savings options
Legislation augmenting the SECURE Act of 2019 now goes to the Senate after passing the House.
Billionaire minimum tax could pose difficulties
The proposal in President Joe Biden’s fiscal 2023 budget to impose a 20% minimum tax on certain high-wealth individuals is seen as likely to raise thorny issues and likely even constitutional challenges.
