Tax practice

The Internal Revenue Service said it is temporarily closing its determination letter program for adopters of pre-approved defined-benefit plans.

A recent ruling by the Tax Court could be highly favorable for taxpayers looking to claim the Research and Development Tax Credit.

The First-Time Homebuyer Tax Credit helped spur a 10.1 percent jump in sales of existing homes in October.

IMGCAP(1)]Corporate clients will likely be approaching their next audit with extra care. The reason: A recent federal appeals court decision has made it clear that information previously viewed as private under the "work-product doctrine" may no longer be protected. That means companies will now think twice before providing such information to their auditors.

The Internal Revenue Service plans to test a pilot program that would permit filers of information returns to truncate an individual payee’s nine-digit identifying number on paper payee statements for calendar years 2009 and 2010 to protect against identity theft.

The Internal Revenue Service said that interest rates would remain the same for the calendar quarter beginning Jan. 1, 2010, as they were in the prior quarter.

The Internal Revenue Service has issued a set of proposed regulations for reporting on credit and debit card transactions starting in 2011.

CCH Small Firm Services has begun shipping its ATX and TaxWise lines of software for tax year 2009, with links to tax research from CCH.

Large and midsized companies can now take advantage of expanded net operating loss carryback rules to use the losses they incurred during the economic downturn to reduce their income from prior tax years.

Most states tax their middle- and low-income families far more heavily than the wealthy, according to a new study by the Institute on Taxation & Economic Policy.

It’s getting near the end of the year, and ’tis the season to be compiling lists.

The owner of New York bagel maker H&H Bagels has been indicted and arrested for stealing withholding taxes and evading unemployment insurance tax in connection with his wholesale and retail bagel business.

Senate Majority Leader Harry Reid, D-Nev., introduced the Senate’s version of the health care reform bill, which includes a new 5 percent tax on elective cosmetic surgery.

Approximately 203,000 taxpayers erroneously claimed a total of over $300 million in Hope Credits for higher education in 2006, and over 169,000 claimed over $232 million in credits, according to a new report by the Treasury Inspector General for Tax Administration.

Over 14,700 holders of foreign bank accounts told the Internal Revenue Service about the existence of the accounts under a voluntary disclosure program.

President Obama has established an interagency Financial Fraud Enforcement Task Force that will work with state and local authorities to investigate and prosecute significant financial crimes.

A bipartisan bill introduced in the Senate and House would reduce the penalties assessed by the IRS on tax shelter investments by small businesses to put them in proportion with the tax benefits received.

The Making Work Pay Credit, a tax credit that was a signature part of President Obama’s economic stimulus package in February, could lead to more than 15.4 million people owing additional taxes, according to a new government report.

Limited liability companies continue to grow in popularity as a choice of business entity. The combination of limited liability, pass-through tax treatment if partnership treatment is elected, ability of members to be actively involved in the management of the business, and lack of many of the restrictions imposed on S corporations have made it a very attractive form of entity.

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