State officials in talks about how to prevent personal property tax spikes

State officials in talks about how to prevent personal property tax spikes – KSDK.com https://bit.ly/3UmP3b1

Innocent Spouse Relief Case in the Courts

Spouses who file joint federal tax returns are both generally liable for the tax owed. But joint filers may seek “innocent spouse” relief. In one case, a man received innocent spouse relief regarding taxable proceeds that his ex-wife received in settlement of an employment discrimination lawsuit. Although he had knowledge of the settlement proceeds, he […]

Security Summit

The Security Summit, a partnership between the IRS, state tax agencies and tax professionals, is warning taxpayers to “take extra steps” to protect their financial and tax information from increasingly sophisticated fraud schemes. The group is pursuing several initiatives during its National Tax Security Awareness Week (Nov. 28 to Dec. 2, 2022). For example, it’s […]

Secure Act 2.0 update

Although the proposed law dubbed the “Secure Act 2.0” generally has bipartisan support in Congress, it may not be passed before the end of the current lame duck session. The retirement security package doesn’t seem to be a top priority now compared with keeping the government funded and averting a shutdown. Lawmakers must decide by […]

Is a QCD right for you?

If you’re age 70½ or older and have an IRA, qualified charitable distributions (QCDs) are an option for making tax-free gifts to charity of up to $100,000. Moreover, if you’re at least age 72, QCDs count toward your required minimum distribution for the year. Note that if you wish to make a QCD for 2022, […]

FTX cryptocurrency loss

Investors with inaccessible assets tied up in cryptocurrency exchange FTX Trading Ltd. will need to wait until court proceedings conclude before learning if loss deductions will be available. FTX filed for bankruptcy in early November. Legible, a cryptocurrency tax and accounting platform, has stated that consumers are likely to incur deductible losses but not soon. […]

Innocent Spouse relief?

Is the IRS holding you responsible for a debt that your spouse or ex-spouse owes? If you file jointly, the IRS may offset the debt using a refund that YOU have coming. Or the agency may file a federal tax lien or levy to collect the debt from you. The IRS Tax Advisor Service (TAS) […]

Do you have a profit motive?

Businesses can generally deduct related expenses on their tax returns. If there’s doubt that a profit motive exists, the IRS may deny deductions. One married couple purchased solar lenses that were supposed to eventually be leased. They claimed depreciation deductions and solar energy tax credits that allowed them to pay little or no income taxes. […]

Amending a return?

Some taxpayers may try to reduce the risk of accuracy-related tax penalties by filing a qualified amended return. These returns are filed after a regular return’s due date, but generally before the IRS contacts the taxpayer about conducting an audit. (Other rules apply for pass-through entities.) New regulations designed to ease the process for large […]

Extended COVID-19 penalty relief available in disaster areas

The IRS is reminding taxpayers in certain declared disaster areas that extended COVID-19 penalty relief is still available for 2019 and 2020 tax returns (but not 2021). The disaster areas with a deadline of Feb. 15, 2023: Florida, Puerto Rico, North Carolina, South Carolina, certain Alaska jurisdictions and Hinds County, Mississippi. The relief applies to […]