Tax Laws

  • New Guidance Clears Up Partnership Deduction for State, Local Taxes

    A new notice from the Internal Revenue Service reveals some new rules that are expected to be included in upcoming proposed regulations. Notice 2020-75 spells out the proposed regulations clarifying that state and local income taxes imposed on and paid by a partnership or S corporation on its income are allowed to be claimed as…

  • IRS Says Self-Supporting College Students Could Qualify for an EIP

    The Internal Revenue Service announced that some college students could qualify for an Economic Impact Payment. This press release is part of the agency’s push to get all eligible non-filers to register for an EIP before the Nov. 21, 2020 deadline, and it comes days before National EIP Registration Day. “In advance of the National…

  • IRS Streamlines Payment Agreement Setup

    The Internal Revenue Service has unveiled changes they say will help struggling taxpayers affected by the pandemic settle their IRS tax debts more easily. The agency says it took a hard look at its collection activities to see how it could offer some relief to taxpayers who owe tax due but are struggling financially because…

  • Some FBAR Filers Have One Extended Deadline Remaining

    Most US citizens, entities, and resident aliens with a foreign bank or financial account have seen their IRS reporting deadline come and go. But for some taxpayers, one more deadline remains to file their 2019 Report of Foreign Bank and Financial Accounts, or FBAR. Most FBAR filings were due by October 31, 2020. The bulk…

  • IRS Announces 2021 Income Ranges for IRA, Saver’s Credit Eligibility, and More

    Taxpayers trying to plan their 2021 deductible retirement plan contributions will be happy to learn that the Internal Revenue Service this week published Notice 2020-79. The IRS says the notice includes “income ranges for determining eligibility to make deductible contributions to traditional Individual Retirement Arrangements (IRAs), to contribute to Roth IRAs and to claim the…

  • New 1065 Instructions Unveiled

    The Internal Revenue Service has released an early draft of the instructions to Form 1065, U.S. Return for Partnership Income for tax year 2020 (filing season 2021). The changes include revised instructions for partnerships that are required to report capital accounts to partners on Schedule K-1 (Form 1065). The revision, the IRS says, is part…

  • Tax Relief for Wildfire and Hurricane Victims

    Taxpayers dealing with the fallout from wildfires in California and Hurricane Delta in Louisiana yesterday received some good news from the Internal Revenue Service. Following the Federal Emergency Management Agency’s disaster declarations for affected areas, the IRS is giving victims additional time to meet certain filing and payment deadlines. What parts of California have been…

  • IRS Reminds Tax Pros about PTIN renewal and AFSP Opportunities

    The Internal Revenue Service Return Preparer’s Office is reminding tax professionals about the PTIN renewal deadline and Annual Filing Season Program perks. According to the Friday IRS newsletter, the RPO is set to send two separate messages: one to all current PTIN holders, and another to all non-credentialed PTIN holders. What does the RPO say about…

  • Treasury Says SBA Has Simpler Forgiveness Application for Certain PPP Loans

    The Treasury Department last week announced that the Small Business Administration is making it easier to request Paycheck Protection Program (PPP) loan forgiveness for loans that are $50,000 or less.   What is the Paycheck Protection Program? The Paycheck Protection Program was created by the Coronavirus Aid, Relief, and Economic Security (CARES) Act of 2020…

  • IRS Adds New Tech to Balance-Due Notices

    It’s a first for the Internal Revenue Service. The agency is adding barcode technology to the printed notices that are sent to millions of taxpayers that let them know they owe Uncle Sam money. The notices—known as CP14 and CP14 IA notices—inform taxpayers they owe money on unpaid taxes and what their payment options are.…