Tax practice

The Internal Revenue Service has selected 32 new members to serve on the nationwide Taxpayer Advocacy Panel.

The Social Security Administration warned in a letter to employees that it may have to furlough workers if proposed cuts to its budget are enacted into law.

We’ve been operating without a budget for the past year, and despite the budget proposal this week, it appears likely that we will continue to operate the government under a series of continuing resolutions.

The House Ways and Means Committee approved two separate pieces of legislation on Thursday to repeal the onerous 1099 reporting provisions enacted in 2010, with Republicans and Democrats sharply divided over how the bill would be paid.

The House Ways and Means Committee began markup work Thursday on two bills aimed at repealing the expanded 1099 information reporting requirements in the health care reform law and the Small Business Jobs Act.

IMGCAP(1)]The Minnesota Society of CPAs has released its list of the most outrageous tax deductions proposed by clients.

Nearly three quarters of nonprofit organizations are concerned that tax exemptions will be revoked in the next year or two, according to a new survey.

Before 2007, any part of a mortgage forgiven after a foreclosure, such as when the house was sold and the bank forgave a mortgage exceeding the home’s sale price, was considered taxable income, but that has changed now.

The Internal Revenue Service has requested that private sector transmitters of e-filed returns stagger their submission of returns over the course of this week, according to one industry group.

A watchdog group is calling on the Office of Congressional Ethics to investigate whether members of Congress who sleep in their offices are violating House ethics rules and tax laws by failing to report lodging as a taxable fringe benefit.

The unveiling of the Obama administration’s budget this week appeared to be only the opening act for what promises to be a long-running series of episodes involving spending, taxes, and cuts to favored and not-so-favored programs.

The Internal Revenue Service said Tuesday that it has begun processing the 1040 individual tax returns and itemized deductions that were delayed by the tax cuts extension legislation that Congress enacted in December, but there are still delays in processing some non-1040 business tax returns.

The average combined U.S. sales and use tax rate increased to a record high of 9.64 percent compared to the previous record of 8.63 percent in 2009, according to a new report.

Two Republican congressional leaders are asking the Internal Revenue Service about recent reports that it has been paying out billions of dollars for improper Earned Income Tax Credit claims.

Senate Finance Committee Chairman Max Baucus, D-Mont., and Sen. Chuck Grassley, R-Iowa, have introduced legislation that would permanently extend income tax relief for ranchers, farmers and other landowners who donate agricultural land for conservation.

The House Committee on Small Business held hearings on repealing the unpopular expansion of 1099 information reporting in the health care reform bill.

The White House released its budget proposal for fiscal year 2012 on Monday, with plans for eliminating capital gains taxes on small business investment, while also getting rid of tax breaks for the wealthy and for fossil fuels.

The Federal Deposit Insurance Corp. has told Republic Bancorp, the main refund anticipation loan provider for Jackson Hewitt and Liberty Tax Service, that the bank’s RALs are “unsafe and unsound” without a debt indicator from the Internal Revenue Service.

A tax preparer who led a tax fraud scheme that resulted in more than $28 million in fraudulent refunds was sentenced in Manhattan federal court to 72 months in prison for his role.

Congressmen Brad Sherman, D-Calif., and Michael Conaway, R-Texas, have formed a Bipartisan Congressional CPA Caucus that they plan to co-chair.