Tax practice

In recent months, the IRS has taken a more serious look at the long-talked-about idea of professional tax preparer registration.

During the downturn, many practitioners have found it necessary to brush up on the loss-deduction rules. When the economy is humming, an overabundance of income is usually available to offset any loss that might surface. When times get tough, however, a variety of loss-limiting rules under the Tax Code suddenly demand some attention. The "basket" approach to figuring out what loss can offset what income can be useful under these circumstances, especially as year-to-year tax planning may be available to offset the offsets.

IRS DROPS ACORN

The Treasury Inspector General for Tax Administration has concluded that cost overruns and schedule delays with the Internal Revenue Service’s Business Systems Modernization Program have increased during 2009.

The Internal Revenue Service needs to better manage the collection notices it sends to individuals, according to a new report from the Government Accountability Office.

House Democrats unveiled their health care reform package after assembling the various components passed this summer by three separate committees.

The House overwhelmingly approved legislation to reform small business lending and spur job creation.

The Justice Department has filed seven lawsuits around the country to stop a massive tax refund fraud scheme based on claims of large tax withholding.

The Treasury Department’s Inspector General for Tax Administration said the Internal Revenue Service should increase the effectiveness of its contract oversight.

Treasury Secretary Tim Geithner and Housing and Urban Development Secretary Shaun Donovan have called on Congress to extend the First-Time Homebuyers Tax Credit past its Dec. 1 expiration date, while putting in place strong anti-fraud measures.

The IRS’s Information Reporting Program Advisory Committee has released a report outlining recommendations on a wide range of tax administration issues, including creating new forms and instructions, and reporting of a customer’s basis in securities transactions.

CCH plans to enhance its IntelliConnect research service with new filtering and interface features.

IRS Commissioner Doug Shulman had some news for CPAs gathered to hear him speak at an AICPA conference on Monday: high-income individuals are going to be in the agency’s cross-hairs now.

Democratic leaders of key House and Senate committees have introduced legislation to force foreign financial institutions, trusts and corporations to provide information about their U.S. account holders, grantors and owners.

IRS Commissioner Douglas Shulman told a gathering of CPAs that he had heard their concerns about the IRS requiring extra testing of CPAs who prepare taxes, and announced that the IRS would be expanding its probe of overseas income while targeting new enforcement efforts at high-wealth individuals.

The Internal Revenue Service has issued a new form that will make it easier to order tax transcripts and help process mortgage modification applications.

If someone said to me a decade ago that the ideas that tax planners use, some on a daily basis, might be violating a patent, I would have dismissed it as crazy talk.

The House Financial Services Committee has approved the creation of a Consumer Financial Protection Agency by a vote of 39 to 29 to safeguard consumers against excessive credit card rate hikes, overdraft fees and predatory lending practices.

A new study by KPMG has found more governments worldwide imposing value-added taxes and goods and services taxes to make up for declining revenue from other sources, and warns the U.S. may follow suit.

The First-Time Homebuyer Credit program that kept the housing industry afloat this year also led to hundreds of millions of dollars in fraudulent or erroneous claims.