Standard mileage rate to increase for last half of 2022
Acknowledging recent sharp increases in gasoline prices, the IRS announced a rare midyear increase in the standard mileage rate, starting July 1.
Individual income taxation
‘OIC mills’ and ‘ghost’ preparers in ‘Dirty Dozen’
Sketchy operations target tax debtors for offers in compromise, and preparers who remain anonymous on returns generally have something to hide, the IRS says in its ongoing series.
More ‘Dirty Dozen’: Tax refund theft and fake charity appeals
The IRS continued its annual series, highlighting threats to ordinary taxpayers from would-be thieves.
Abusive CRATs and Maltese IRAs among ‘Dirty Dozen’ tax scams
The first installment of the Internal Revenue Service’s annual feature focuses on four abusive transactions and arrangements.
Tax advice for clients who day-trade stocks
Communicate the benefits of the mark-to-market election.
Changes to Form 1099-K
Recent changes in reporting requirements will lead to mistakes, but taxpayers should not ignore them.
IRS mostly correct on recovery rebate credits, TIGTA says
The IRS administered the recovery rebate credit correctly for all but 0.7% of returns in the 2021 filing season, the Treasury Inspector General for Tax Administration found.
Procedures for Puerto Rico residents to claim a 2021 child tax credit
The IRS provides two simplified filing methods for bona fide residents of Puerto Rico to claim the child tax credit.
Eleventh Circuit: Judicial extinguishment proceeds formula invalid
The IRS’s interpretation of a conservation easement rule is struck down.
Adopting a child: Tax planning considerations
Parents pursuing an adoption can use a CPA’s advice.
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.
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.
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.
Biden proposes higher corporate tax rate, 20% billionaire minimum tax
Fiscal 2023 tax provisions also would increase IRS funding, encourage domestic business investments, and repeal many fossil fuel tax preferences.
Individual taxpayers must answer cryptoasset question, IRS notes
Front and center on Form 1040 is whether taxpayers had a virtual currency transaction.
New, lower Form 1099-K threshold prompts cautions, criticisms
The new, lower $600 reporting threshold for reporting credit card and cash payment app transactions will likely lead to problems for taxpayers and payment settlement entities, the Taxpayer Advocate Service warns.
Don’t try this at home
Gold coins kept in taxpayer’s residence caused taxable IRA distributions.
Paradise postponed
Taxpayer’s organic oasis was not yet a going concern, the Tax Court holds.
Tax treatment of COVID-19 homeowner relief payments clarified
Payments are excluded from gross income; a safe harbor is provided for itemized deductions.
