Tax practice

HOMEBUYER TAX CREDIT DEADLINE EXTENDED

Technology glitches with new software at the Internal Revenue Service caused it to initially reject nearly a quarter of the 127,105 tax returns it processed during its first three weeks of operation in February.

Although it¨s just one of many new taxes in the health care reform law, and its effective date is more than a year away, the new Form 1099 reporting requirements are suddenly on everyone's radar screen.

Henny Youngman, the aptly-named "King of the OneLiners," used to joke that his accountant recently had reviewed hisfinances and assured him that he had invested enough money to live comfortablyfor the rest of his life.

A federal court in Kansas City, Mo, has permanently barred Missouri lawyer A. Blair Stover Jr. from promoting a variety of improper tax schemes.

The Education Jobs and Medicaid Assistance Act of 2010 is basically a bailout for states that are living beyond their means and have problems meeting their payrolls.

An IRS official repeatedly reassured an audience of tax preparers that the agency isn’t aiming to take away their livelihoods or weed out people when its new registration, testing, education and e-file requirements take effect next tax season.

The number of corporate returns processed annually by the Internal Revenue Service fell 7 percent between January 2005 and December 2009, from almost 2.2 million to approximately 2 million, according to a new government report.

IMGCAP(1)]It’s no secret that taxing jurisdictions across the country are suffering from the economic downturn, and are anxious to close the tax gap.

Dan Rostenkowski, the former chairman of the tax-writing House Ways and Means Committee, has died at the age of 82.

In the midst of their August recess, House lawmakers returned to Capitol Hill to vote to approve legislation to provide $26 billion in aid to states to avoid teacher layoffs and Medicaid cuts, paid for in part by clamping down on foreign tax credits.

Thirty-one members of the House have signed a letter to Treasury Secretary Timothy F. Geithner urging changes in the Internal Revenue Service’s proposed plan to regulate paid income tax return preparers.

A Canadian citizen was sentenced to nearly three years in a U.S. federal prison after he tried to deposit a $350,000 U.S. federal tax refund in a Washington State bank.

Consumer taxes for retail sales items, gas and cigarettes have all continued to climb in the past year, according to an annual survey of consumption taxes by CCH.

A federal judge in Santa Ana, Calif., has permanently barred Thanh Viet Jeremy Cao and his business, Phoenix Financial Management Group, from preparing federal tax returns.

The Internal Revenue Service could do more to encourage tax preparers to reduce the $345 billion tax gap, according to a new government report.

The Senate has revised the Small Business Jobs Act tax relief and lending bill with amendments scaling back controversial new requirements for 1099 reporting of business transactions.

The battle to extend or not to extend the Bush tax cuts has drawn comments from both sides on the potential positive or negative effects of the cuts.

Starting next tax season, the Internal Revenue Service will no longer provide tax preparers and financial institutions with a so-called “debt indicator” that is often used to facilitate refund anticipation loans.

The Internal Revenue Service is realigning its Large and Mid-size Business Division to focus more on improving international tax compliance.