Presidential Tax Transparency Act introduced

A bill in Congress may mandate transparency in the White House. Members of the U.S. House Ways and Means Committee, Bill Pascrell, Jr. (D-NJ) and Anna G. Eshoo (D-CA) reintroduced the Presidential Tax Transparency Act on Feb. 9. If passed, this bill would require sitting presidents, vice presidents and major party candidates for those positions […]

State relief payments may excape taxation

State relief payments may be excludable from income for most taxpayers, the IRS announced. On Feb. 10, the tax agency said that taxpayers in 21 states can exclude from income certain special relief payments they received from their states, though the rules vary. In the following states, payments made for general welfare or for disaster […]

Why do businesses fail — and how can yours succeed?

Global Minimum Tax criticized by House Ways and Means Committee

In a Feb. 10 letter to the Organization for Economic Co-operation and Development (OECD), U.S. House Ways and Means Committee Chair Jason Smith (R-MO) criticized the OECD’s global minimum tax framework. He asserted that the Paris-based group had conducted backroom deals to “attack the United States,” and that the minimum tax would hurt U.S. jobs […]

Direct Deposit now available on Amended Tax returns

If you file an amended tax return electronically, you can now get a direct deposit refund. The IRS announced that taxpayers e-filing Form 1040-X, Amended U.S. Individual Income Tax Return, have this option. Previously, taxpayers who filed Form 1040-X had to wait for a paper check refund. Taxpayers may still submit a paper Form 1040-X […]

Fair Tax Act Proposed

A Republican-sponsored bill, the Fair Tax Act, was recently introduced in the U.S. House of Representatives. It calls for eliminating most federal taxes (including individual and corporate income, capital gains, payroll, and estate taxes) as well as getting rid of the IRS. The taxes would be replaced with a 23% federal sales tax on goods […]

Do you owe federal taxes on relief checks? Not if you live in these 16 states

Do you owe federal taxes on relief checks? Not if you live in these 16 states – CNBC https://bit.ly/3jWgAUF

GAO reports on IRS technology

The Government Accountability Office (GAO) in a report rebukes the IRS for problematic IT modernization and cloud computing efforts. The GAO analyzed IRS legacy applications, software, and hardware data and assessed plans for 21 modernization initiatives. The GAO found that the IRS’s legacy IT environment includes applications that range from 25 to 64 years in […]

IRS evaluating taxability of state special tax refunds

Early birds: Hold up! The IRS is asking some taxpayers to wait a bit longer before they finalize and file their 2022 federal income tax returns. That’s because the IRS is still evaluating the taxability of special tax refunds and payments made last year by approximately 20 states to their residents. Some payments may be […]

Reading the tea leaves: Potential tax legislation in the new Congress

The 2022 mid-term election has shifted the scales in Washington, D.C., with the Democrats no longer controlling both houses of Congress. While it remains to be seen if — and when — any tax-related legislation can muster the requisite bipartisan support, a review of certain provisions in existing laws may provide an indication of the […]