A new law allows taxpayers to exclude from income money they receive to compensate them for being wrongfully incarcerated and to claim refunds for earlier tax years if they included such damages in income.
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TOPICS
Tax
IRS did not discover or help all Get Transcript data breach victims
The TIGTA criticized the IRS’s failure to identify and assist all taxpayers whose tax return and other data may have been accessed by cybercriminals in last year’s Get Transcript breach.
Taxpayers can get tax return transcripts online once again
Announcing increased security and authentication procedures, the IRS said that it had re-instated its Get Transcript Online service, which had been breached by cybercriminals last year.
Tax-free REIT spinoffs are curtailed
The IRS issued regulations restricting the ability of C corporations to use this method.
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Foreign tax credit ban lifted for Cuba … WOTC transition relief expires soon … Estates have until June 30 to file new estate basis form … Charitable donation of coin collection requires appraisal
Law firm is held liable for accuracy-related penalties
The independent-investor test is applied to a corporation that mischaracterized dividends as compensation.
Drafting real estate leases with taxes in mind
A Tax Court case illustrates the need for tax planning in drafting and negotiating real estate lease agreements.
Alleged ROBS-type transaction leaves business funding taxable
An IRA distribution was not a qualified rollover because the funds were not deposited into another IRA, the Tax Court holds.
‘Private Roth IRA corporation’ is held abusive
Transfers under a subcontracting agreement to a C corporation held by a taxpayer’s Roth IRA were excess contributions to the IRA.
Updating VAT rules to reflect the 21st century economy
Many jurisdictions around the world are amending their rules to keep up with technological advances and the rise of new business models.
Estate basis consistency and reporting: What practitioners need to know
The new law imposes a potentially elaborate reporting regime for values of estate property and ominous consequences for failures.
What you need to know to help clients with an IRS ETP agreement
Here are 12 things you need to know about extension-to-pay agreements that can help clients who need more time to pay their tax bill.
AICPA members weigh in on IRS service levels
Problems included trouble getting through on the phone and trouble reaching IRS representatives who could answer their questions. Written communications with the agency were another source of frustrations.
Mary Kay sales consultant’s retirement payments subject to self-employment tax
The Eleventh Circuit Court of Appeals held that payments a retired Mary Kay sales consultant received from the cosmetics company were subject to self-employment taxes because they were payments of deferred compensation.
Final regulations change allocation rules for Roth IRA rollovers
The regulations allow taxpayers to allocate pretax amounts to direct rollovers, rather than having to make pro rata allocations.
IRS future state is not a one size fits all
Nina Olson, the national taxpayer advocate, heard from tax practitioners and taxpayer groups on how the IRS can modernize its taxpayer services.
CPAs helping guide tax administration and affecting tax policy
As it works through a long list of priorities and plans for its “future state,” the IRS should look to CPAs, who based on their experience can provide a unique viewpoint.
Bonus depreciation applies to new class of property
December’s appropriations act created a “qualified improvement property” category for bonus depreciation.
Judge’s above-the-line employee expense deduction is disallowed
The Tax Court holds that the position is not compensated by fees.
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E-file PINs stolen … PTIN protest gets class certification … Trade Act increases minimum failure-to-file penalty
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