Individual income taxation

TOPICS / TAX

May 1, 2023

Digital documentation: Avoiding a business deduction disallowance

Common taxpayer lapses of substantiation can be remedied with a little awareness and versatile digital recordkeeping apps.

May 1, 2023

Contractor’s housing accommodation is taxable

Employer-provided housing was not on the business’s premises, the Tax Court finds.

March 30, 2023

Name, image, liability

Student-athletes may face unexpected tax
liabilities from compensation for their name,
image, or likeness now allowable under
NCAA rules.

March 30, 2023

Beneficiary IRAs: A guide to the RMD maze

Advisers can aid inheritors of individual retirement accounts to make optimal choices for their required minimum distributions.

March 30, 2023

Emotional-distress settlement denied exclusion treatment

A university whistleblower’s damages did not address alleged physical injuries, the Tax Court concludes.

March 30, 2023

Bank deposits analysis upheld

The Tax Court rejects a taxpayer’s claim that the IRS’s reconstruction of his income included nontaxable proceeds from a real estate sale.

March 1, 2023

Tax benefits denied for lack of profit motive

The Tenth Circuit upholds the Tax Court’s denial of depreciation and tax credits for a taxpayer’s investment in a solar energy tax shelter.

February 24, 2023

Taxpayers in disaster areas of 3 states have until Oct. 16 to file returns

Taxpayers in most of California and parts of Alabama and Georgia have had their tax filing and payment deadlines further extended to Oct. 16. The postponement covers a wide variety of returns and taxes.

February 21, 2023

AICPA recommends 12 digital asset FAQs for IRS to post online

The AICPA has suggested questions and answers the IRS could post to assist taxpayers and practitioners in answering the question about digital assets that appears on Form 1040.

February 11, 2023

Taxpayers can exclude certain 2022 state payments from federal returns

Taxpayers who received certain general welfare or disaster relief payments or refunds in 2022 will not have to include them in income on their federal returns, the IRS announced on Friday.

February 6, 2023

Change allows more vehicles to qualify for the new clean vehicle tax credit

Treasury and the IRS said Friday the IRS will use the EPA Fuel Economy Labeling Standard in proposed regulations to define which vehicles are eligible for the Sec. 30D clean vehicle tax credits, enacted as part of the Inflation Reduction Act.

January 24, 2023

Taxpayers reminded about digital asset question and income reporting

The IRS also expanded and clarified the instructions for answering the question to help taxpayers answer it correctly. Taxpayers must answer the question even if they didn’t engage in activities involving digital assets, just as in the 2021 tax year.

January 9, 2023

Unemployment compensation exclusion corrections led to 12 million refunds

Nearly 12 million taxpayers received refunds for 2020 through automatic corrections the IRS made because the American Rescue Plan Act added an exclusion for unemployment compensation after some taxpayers had already filed their returns.

January 4, 2023

Key tax and retirement provisions in the Secure 2.0 Act

The year-end appropriations act included the Secure 2.0 Act, which makes many changes to the retirement plan rules, including expanding automatic enrollment and increasing the starting age for required minimum distributions.

January 1, 2023

Taxpayer’s charitable deduction for artwork donation denied

An art dealer and collector lacked reasonable cause for failing to properly document a sculpture’s value, the Tax Court holds.

December 1, 2022

Line items

Final regulations adopt ‘family-friendly’ health care affordability test … IRS raises per diem standard rates for business travel … AICPA again critiques new IRS requirements for R&D credits … R&D credit claim transition period extended

December 1, 2022

‘Family support’ payments not deductible as alimony

The divorce instrument included a child-related contingency, the Tax Court holds.

November 14, 2022

One deadline approaches for over 9 million eligible for pandemic-era benefits

In October, the IRS said it would leave Free File open for an extra month, until Thursday, so eligible taxpayers can claim their share of several benefits including the 2021 recovery rebate credit, the child tax credit, and the earned income tax credit.

October 19, 2022

IRS announces annual inflation adjustments for tax year 2023

Changes include increases in the standard deduction for many taxpayers, new tax brackets, and a higher maximum earned income tax credit amount.

October 17, 2022

Understand the tax consequences of remote work

CPAs can play crucial roles in helping navigate the evolving landscape as state tax authorities ramp up efforts to source additional revenue from out-of-state workers and the companies they work for.