Taxpayers who are in business to make a profit can generally deduct related expenses on their tax returns. If the IRS doubts a profit motive exists, it may deem an activity to be a hobby with a limited ability to deduct costs. The burden to prove there’s a profit motive is on the taxpayer. In […]

The magnitude of the IRS backlog of unprocessed returns is “unprecedented,” said the National Taxpayer Advocate, Erin Collins. Since the start of the pandemic, millions of taxpayers have seen their refunds delayed. To rectify the problem, Collins wants to see the IRS’s “antiquated” system modernized, including the use of scanning technology such as 2-D barcoding […]

From CNBC; Majority of crypto investors still aren’t ready to file their taxes, survey finds – CNBC https://cnb.cx/3JcManv

The good news is that the IRS correctly calculated and issued advance Recovery Rebate Credit payments (authorized by the American Rescue Plan Act of 2021) to more than 166.6 million Americans by Sept. 16, 2021. That’s according to an audit by the Treasury Inspector General for Tax Administration. But despite a 99.48% success rate, the […]

Bad actors, beware! As the director of the IRS’s new Office of Fraud Enforcement (OFE) explained to an American Bar Association audience, the tax agency is aggressively pursuing emerging fraud threats. For example, OFE is training IRS agents and officers to look for fraud when conducting civil audits and training some to become experts on […]

Social Security Administration to Resume In-Person Services at Local Social Security Offices https://bit.ly/3DFnyTm 

If your assets include foreign bank and financial accounts, you must annually file a Report of Foreign Bank and Financial Account (FBAR). The IRS is reminding affected taxpayers that the deadline to file an FBAR generally is April 15. Specifically, taxpayers must file FBARs if they have financial interest in or signature authority over bank […]

The IRS is highlighting the work of its Criminal Investigation (CI) unit. Two fact sheets detail the CI’s work on financial crimes such as money laundering, terrorist financing, cybercrime and sanctions evasion, which includes investigating and seizing assets of wealthy Russians. As described by the IRS, CI is the only U.S. law enforcement body authorized […]

Here are some of the key tax-related deadlines that apply to businesses and other employers during the second quarter of 2022. Keep in mind that this list isn’t all-inclusive, so there may be additional deadlines that apply to you. Contact us to ensure you’re meeting all applicable deadlines and to learn more about the filing […]