IRS data leak in 2021 details emerging

What led to the “massive leak of confidential taxpayer information” at the IRS in June of 2021? That’s the question asked by House Ways and Means Committee Chair, Jason Smith (R-MO) in a letter to the Treasury Inspector General for Tax Administration (TIGTA). Smith stated that the leak to media outlet ProPublica was referred to […]

What is an ordinary business expense?

Business owners can generally deduct the ordinary and necessary expenses of operations. Tax law defines an expense as “ordinary” if the transaction is common for the type of business and “necessary” if it’s helpful in conducting the business. Courts also look at the primary motive for incurring costs. In one case, an attorney argued that […]

Spy Balloons. U.F.O.s. What Else Is Up There?

And now for something completely different, but interesting.Spy Balloons. U.F.O.s. What Else Is Up There? https://nyti.ms/3xTnptf

America’s Scariest Quake Zone ISN’T in California

Earthquake: America’s Scariest Quake Zone ISN’T in California – AMU Edge https://bit.ly/3klKYbi

IRS Commissioner nominee lists priorities

Under his leadership, IRS Commissioner nominee Daniel Werfel vows to make audit equity, customer service and “tax cheating” priorities. On Feb. 15, Werfel testified before the U.S. Senate Finance Committee that he’s concerned about a “two-tier tax system” that treats lower- and higher-income taxpayers differently. When asked about how the IRS will spend the $80 […]

CBO projects $1.4 trillion 2023 federal deficit

In its new “Budget and Economic Outlook: 2023 to 2033” report, the Congressional Budget Office (CBO) projects a $1.4 trillion 2023 federal deficit. This is $0.4 trillion more than its May 2022 projection for 2023. What’s changed? Newly enacted legislation and economic factors, including inflation and rising interest rates, have affected the CBO’s projection models. […]

Guidance issued on Corporate alternative minumum tax

The Inflation Reduction Act created a new corporate alternative minimum tax (CAMT) that imposes a 15% minimum tax on the adjusted financial statement income of large corporations for taxable years beginning in 2023. Large corporations, including insurance companies, with average annual adjusted financial statement income exceeding $1 billion are the taxpayers generally affected by the […]

IRS misses deadline

The IRS didn’t submit its 10-year plan detailing how it’ll use the $80 billion appropriation from the Inflation Reduction Act by the Feb. 17 deadline set by Treasury Secretary Janet Yellen. Critics of the funding are concerned about the ratio of enforcement amounts compared to other purposes, such as customer service, systems upgrades and supporting […]

IRS interest rates unchanged for 2nd quarter of 2023

There will be no change in certain interest rates for the quarter beginning April 1, 2023. The IRS announced that, for 2nd quarter of 2023, the interest rate for overpayments will remain unchanged, computed from the federal short-term rate determined during Jan. 2023. For individuals, that rate will remain 7%. It will remain 6% for […]

CBO reports on budget deficit

The Congressional Budget Office (CBO) estimates that the federal budget deficit for the first four months of fiscal year 2023 was $459 billion. That’s $200 billion more than the shortfall in the same period in 2022. Receipts for FY23 totaled $1.5 trillion, about 3% less than the same period in 2022. Individual income and payroll […]