Individual income taxation

TOPICS / TAX

October 1, 2015

Estimated tax issues for divorcing couples

Problems can arise when taxpayers try to properly allocate estimated tax payments.

October 1, 2015

Property-related litigation costs held includible in home office deduction

The IRS failed to show that combating ‘running wild’ dogs, mold, and noise was exclusively a personal expense.

October 1, 2015

Crowdfunding and income taxes

See how to address this increasingly common source of income with tax clients.

September 16, 2015

Special per-diem rates issued for 2015–2016 travel

The IRS issued per-diem rates for use in substantiating business expenses taxpayers incur while traveling away from home.

September 1, 2015

Head-of-household return may be amended to married filing jointly after a petition to Tax Court

An appellate decision overturns the Tax Court on meaning of ‘separate return.’

August 13, 2015

Identity theft protection services provided after a data breach are not taxable

The announcement applies to anyone whose personal information may have been compromised in a data breach, including customers, employees, and others.

August 10, 2015

Ninth Circuit holds mortgage-interest deduction applies on a per-taxpayer basis

Unmarried co-owners of two qualified residences each qualified for mortgage-interest deductions on up to $1.1 million of acquisition indebtedness the Ninth Circuit Court of Appeals held.

August 1, 2015

Moved south but still taxed up north

Retirees often move to the southern United States to take advantage of lower taxes, but they should know how their former state of residence will treat them if they leave any property behind.

August 1, 2015

Sec. 179 and the repair regs.

Applying the two together may provide a larger overall deduction.

August 1, 2015

No COD income from loans

Expiration of state limitation period on loan collection wasn’t conclusive of debt discharge.

August 1, 2015

Intent to rent

Taxpayers will not be able to deduct expenses and losses related to a former personal residence if the facts and circumstances fail to show the conversion was for income-producing purposes.

July 13, 2015

Emerging tax issues cause due-diligence problems

Speaking at an IRS Nationwide Forum in Fort Washington, Md., the deputy director of the IRS Office of Professional Responsibility warned practitioners that they should exercise due diligence when advising clients on emerging tax issues.

July 1, 2015

Treatment of CHIP buy-in programs clarified

Taxpayers will be ineligible for premium assistance credits only for periods they are enrolled in a CHIP buy-in program that has been designated as minimum essential coverage.

July 1, 2015

Tax treatment of employer-provided meals and lodging

The line between exempt fringe benefit and taxable compensation features some surprising twists in this enduring source of tax controversy.

July 1, 2015

Qualified performance-based compensation rules are finalized

Regs. clarify the per-employee limitation and transition rule for compensation paid before a corporation becomes publicly held.

May 19, 2015

Tax reform, lower rates among top legislative goals, Ryan tells AICPA

In a speech to the AICPA’s spring Council meeting, Rep. Paul Ryan, chair of the House Ways and Means Committee, laid out his goals for tax reform and lower tax rates. He also called for the United States to adopt a territorial tax system.

May 18, 2015

Supreme Court invalidates Maryland’s personal income tax structure

The U.S. Supreme Court held that Maryland’s personal income tax, which does not permit a credit against Maryland county income tax for taxes paid to other states, violates the dormant Commerce Clause.

April 16, 2015

Millions of taxpayer phone calls went unanswered by IRS this tax season

The interim report for the 2015 filing season revealed that the average time a taxpayer calling the IRS for assistance had to wait was 24.6 minutes, up from 11.7 minutes last year, and that very few taxpayer calls were actually answered.

April 13, 2015

Egg donor’s payment for pain is taxable income

Payments a woman received under a voluntary egg-donation contract could not be excluded from income as damages for physical injury or sickness under Sec. 104(a)(2).

April 10, 2015

Wife of anti-tax author sentenced to prison

Doreen Hendrickson, wife of tax protester author Peter Hendrickson, who wrote the antitax book Cracking the Code, has been sentenced to 18 months in prison for criminal contempt after failing to file amended tax returns as ordered by a court and for filing a false return.