Tax news and information - Journal of Accountancy

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February 7, 2024

Auto depreciation limitations increase

The IRS issued the 2024 depreciation limitations for passenger automobiles, including those for which bonus depreciation is applied.

February 1, 2024

House OKs $78B tax bill with changes to ERC and child tax credits

The bill, which now goes to the Senate, also delays amortization of research or experimental costs and restores tax breaks for companies from 2017’s Tax Cuts and Jobs Act.

February 1, 2024

Line items

AICPA, others call for a one-year extension of BOI report deadline … COVID-19 changes allowing e-signatures made permanent … IRS emphasizes strides as it presses to keep funding … ‘As if they were never filed’: IRS outlines steps to withdraw ERC claims … 13 states will participate in IRS Direct File pilot

February 1, 2024

How tax practice standards affect CPAs

Recently revised AICPA standards and other tax practice rules may apply to CPAs in unexpected circumstances.

February 1, 2024

Interest from past-due child support is includible in income

The Tax Court denied a taxpayer’s contention that the payments were excludable as child support.

February 1, 2024

Taxpayer lacks reasonable cause for CPA’s failure to e-file his returns

The Eleventh Circuit held that Boyle applies to e-filed returns.

February 1, 2024

TIGTA recommends improvements to CAF and Tax Pro Account

The IRS’s Centralized Authorization File continues to contain thousands of deceased individuals and duplications, and Tax Pro Account has been underused, TIGTA found.

January 29, 2024

Don’t wait on action on tax bill to file returns, IRS tells taxpayers

With tax season opened as of Monday, Commissioner Danny Werfel said the IRS will handle any necessary changes if a bill passes after returns are filed.

January 29, 2024

IRS to hold ERC education sessions for tax pros in February

The sessions, which will be hosted by IRS Criminal investigation special agents at locations nationwide, are aimed at tax professionals who claimed ERCs for clients on previous years’ tax returns.

January 26, 2024

Digital asset question added to more forms for 2023 tax returns

IRS adds a question about digital assets to forms covering partnerships, corporations, S corporations, and estates and trusts.

January 25, 2024

ERC, BOI, e-signature relief: 3 focus areas for tax advocacy

An AICPA tax leader discusses advocacy “wins” from 2023, focus areas for 2024, and explains why comment letters sent to legislators are just “the tip of the iceberg”.

January 25, 2024

BOI reporting and unauthorized disclosure penalties increased

The beneficial ownership information rules and the penalties for violating them just went into effect last month. Now the penalties have increased.

January 23, 2024

Simpler IRS notices are coming

The IRS’s new Simple Notice Initiative follows a pilot that demonstrated how redesigned notices can improve taxpayer experience while reducing call volume.

January 17, 2024

Reporting of digital assets as cash delayed until IRS issues regs.

In an announcement posted Tuesday, until regulations are issued, the IRS said businesses do not have to include digital assets in determining whether cash received in a single transaction is over the $10,000 reporting threshold.

January 12, 2024

IRS enforcement efforts collect $520 million from wealthy taxpayers

IRS Commissioner Danny Werfel detailed new IRS efforts to collect taxes from high-income individuals, complex partnerships, and large corporations. He also gave an update on IRS modernization progress.

January 10, 2024

Employee or independent contractor? DOL issues new guidance

A final U.S. Department of Labor rule provides an economic reality test and targets “misclassifying employees as independent contractors,” which could have tax and other implications for workers and employers alike.

January 10, 2024

Taxpayer advocate: IRS again fails tax pros with PPS call answer rate

In an annual report to Congress, the national taxpayer advocate says the IRS should prioritize improving service on the practitioner priority service line, which had a 29% call answer rate.

January 10, 2024

Auditor options when finding ineligible ERC claims

With the IRS challenging the validity of many employee retention credit (ERC) claims, what should practitioners do if they come across questionable ERC claims during audit engagements? Experts Robert Durak and Michael Westervelt provide answers.

January 9, 2024

IRS to begin accepting and processing 2023 tax returns on Jan. 29

IRS commissioner Danny Werfel promised “marked improvement” for the upcoming tax season, when almost 129 million individual tax returns are expected to be filed.

January 4, 2024

IRS collects record-setting $4.9 trillion in tax revenue in FY 2022

The Treasury Inspector General for Tax Administration said in its annual report that the total tax revenue collected from return filings was about $790 billion more than in FY 2021.