Advice

States across the country made plenty of changes this year in the imposition of sales taxes on online purchases after the Supreme Court’s ruling last year in the case of South Dakota v. Wayfair, according to a new report. The 2020 Sales Tax Changes report, from tax technology provider Avalara, found economic nexus laws continuing

As a result of the disposition regulations that were finalized in 2014, taxpayers are able to claim a partial disposition of a building component and recognize a loss on their tax return in the year of disposition. The partial disposition election is one of five issues targeted by the IRS Large Business and International division

Even as concerns mount that the long period of economic growth we’ve enjoyed in the U.S. is starting to slow, the real estate market — both residential and commercial — continues to expand on a nationwide basis. The upward trend in real estate volume and value, combined with the sense of lingering uncertainty about how

Tax preparers deal a lot in numbers. So, it seems, do some prospects. “I didn’t achieve the knowledge and experience I have to be the lowest cost provider in the business,” said Bruce Primeau, a CPA and president at Summit Wealth Advocates, in Prior Lake, Minnesota. “The cost of my services, in my opinion, is

Intuit has introduced a range of new features to ProConnect Tax Online, its professional tax preparation product, for tax year 2019. Updates include new forms, e-file capabilities, and behind-the-scenes software upgrades. Responding to recent upheavals in tax law, Intuit states it has been making key improvements to ProConnect Tax Online to ensure continued support for

CPAs gone wrong; on the waterfront; trooper tricks; and other highlights of recent tax cases. Jacksonville, Florida: Preparer Joanna Arlean Tukes has pleaded guilty to aiding and assisting others with the filing of fraudulent tax returns. Since 2012, Tukes owned and operated a prep business where she reported false information on returns, including false claims

EY will offer its TaxChat online tax preparation service directly to consumers who are required to file U.S. tax returns starting in 2020. The solution is not quite do-it-yourself, as it will offer licensed tax professionals who prepare and file clients’ individual federal and state returns through the digital platform. DIY tax solutions remain a

From Times Square, New York to Tulare, California, revelers will be ringing in a new year and new decade on Dec. 31. It’s also when investors with capital gains will be rushing to make investments in a qualified opportunity fund (QOF) and get the “full” benefit of the program. As I’ll explain shortly, the program

The Internal Revenue Service’s proposed regulations on the classification of cloud transactions and transactions involving digital content could mean some unexpected tax bills for some publishers, especially those based abroad who sell copyrighted articles to U.S. readers. The IRS released the proposed regulations in August and accepted comments on them until Nov. 12. However, publishers

Sharyn Fisk has been picked to lead the Internal Revenue Service’s Office of Professional Responsibility. Fisk, most recently a professor of tax at Cal Poly Pomona, will assume leadership of OPR early next year. “Fisk is extremely well respected both internally at the IRS and throughout the tax professional communities,” said IRS Commissioner Chuck Rettig

The Internal Revenue Service’s Criminal Investigation division identified $1.8 billion in tax fraud in 2019, with a 91.2 percent conviction rate for all financial crimes, according to the division’s 100th annual report released Thursday, which also highlighted a continued focus on employment tax, cryptocurrency and cybercrime. This year’s report, which marked the agency’s 100th anniversary,

The Tax Cuts and Jobs Act raised a lot of questions in clients’ minds — and it raised anger in more than a few last April when they saw how inadequate withholding sent their tax bill skyrocketing. But do they appreciate help? “When the new withholding tables were released in 2018, we started advising clients

Taxpayers should assemble a recordkeeping system — electronic or paper — that keeps important information in one place. This includes copies of filed returns and all supporting documents for at least three years: W-2s, 1099s, other income documents, records documenting all virtual currency transactions and 1095-As. Clients should also confirm that each employer, bank or

Franchise Group Inc., the parent company of Liberty Tax Service, has settled with the Department of Justice and the IRS regarding an investigation into the company’s compliance program. The DOJ had filed for Franchise Group to “refrain from specific acts, enact enhanced internal compliance controls regarding the detection of false tax returns, and pay for

Her (dis)Honor; fenced in; death and taxes; and other highlights of recent tax cases. Baltimore: Former mayor Catherine Pugh, 69, has pleaded guilty to conspiracy to commit wire fraud, conspiracy to defraud the U.S. and two counts of tax evasion. In 2011, Pugh ran an unsuccessful campaign to be mayor of Baltimore. Four years later

The Internal Revenue Service and the Treasury Department released their final regulations on two major international tax provisions, the Foreign Tax Credit and the Base Erosion and Anti-abuse Tax (BEAT), which was included as part of the Tax Cuts and Jobs Act. The final regulations on the Foreign Tax Credit relate to a longstanding tax

The Internal Revenue Service is seeking information from more taxpayers who hold virtual currency like Bitcoin, but in a ruling last week, a judge ordered the IRS to limit its summons for information from one cryptocurrency exchange, Bitstamp. The case involves a taxpayer who filed an amended return asking for a $15,475 tax refund for

While the smoothest tax season might be one with no surprises, the practitioner who anticipates and is ready for unexpected issues will sleep better at night knowing they are prepared. One area of potential consequence for preparers is the new partnership K-1s, according to Joe Buble, the tax practice leader at Top 100 Firm Citrin

“Should I stay or should I go?” The Clash sang years ago. Residents of New York, Connecticut, New Jersey, Rhode Island, California and other high-tax states are now singing a similar song. The thought of moving to a lower-tax state is more prevalent than ever in light of the federal Tax Cuts and Jobs Act

Virtual currencies have been growing rapidly in terms of type and frequency of use. They are increasingly becoming an accepted form of payment even by major established companies and financial institutions. Not all taxpayers, however, appear to be familiar with or complying with their tax reporting obligations involving virtual currencies. The Internal Revenue Service estimates