Certain partnerships that failed to file their required federal tax returns by the new, April 15th due date for tax years beginning with 2016 may be provided penalty relief, according to Internal Revenue Service Notice 2017-47. The calendar-year partnership due date was moved up from April 18th by the Surface Transportation and Veterans Health Care Choice Improvement Act of 2015. If your partnership filed its returns with the IRS and provided appropriate copies to receipients by the historical due date, or requested an extension by that time, you may qualify for penalty relief. For more information, click here.
The Internal Revenue Service (IRS) has issued a warning about possible fake charity scams related to the effects of Hurricane Harvey. Taxpayers should be sure the charities they want to support are recognized by the government to accept donations. Don't let your compassion get the best of you - be careful who you send your money and information. The IRS offers the following tips to help you protect your interests while also supporting causes you care about:
The Internal Revenue Service (IRS) has just obtained specialized software for identifying users of bitcoins and other virtual currency. According to a work contract obtained through a Freedom of Information Act request by The Daily Beast, the IRS hopes to use this software "to identify and obtain evidence on individuals using bitcoin to either laundry money or conceal income as part of tax fraud or other Federal crimes."
The Internal Revenue Service (IRS) is seeking applicants for places on its Advisory Committee on Tax Exempt and Government Entities (ACT), specifically to assist with the employee plans, exempt organizations, and tax exempt bonds segments. The Department of the Treasury appoints members for three-year terms. Applications are accepted through September 18, 2017.
A group of private business owners have filed suit in a dispute with the IRS over reimbursement for their involvement in a sting operation to identify people filing fraudulent tax returns. "I think it is unusual for the IRS to use a private business in a sting operation," Betty Williams wrote. "If the plaintiffs are not made whole, this is simply a very sad story." Learn more in the Northern California Record, here.
The Internal Revenue Service (IRS) is launching a pilot program to offer a web-based virtual conference option for taxpayers and their representatives in Appeals cases. The Office of Appeals hears over 100,000 cases each year for taxpayers who would like to resolve their tax disputes outside the Tax Court, and is hoping this new program will be a convenient, efficient, and flexible way to address the needs of taxpayers, particularly those who live far from an IRS Appeals office.
National Taxpayer Advocate Nina Olson recently released her FY 2018 Objectives Report to Congress summarizing the recent filing season and future goals to improve Internal Revenue Service (IRS) interactions with US taxpayers.
Ordinarily, the taxpayer has the burden of proving a tax return is accurate. But when the IRS has to produce documents, its record-keeping practices are lacking. The Treasury Inspector General for Tax Administration (TIGTA) released a report on July 13, 2017, that found that the IRS' electronic record retention policies do not comply with certain Federal requirements that records remain retrievable and usable for the time period needed. For example, e-mail messages are not automatically archived for all IRS employees, and the manual methods used to counteract this gap are inadequate when computer hard drives are destroyed or damaged as media storage policies and tools change.
The Internal Revenue Service (IRS), as part of the Security Summit, is urging tax professionals to stay vigilant with regard to a variety of e-mail scams and "spear phishing" that aim to steal personal information about clients and companies. Between January and May 2017, some 177 tax professionals or firms reported data thefts involving thousands of clients' information.
United States Senate Committee on Finance Chairman Orrin G. Hatch recently issued a request to experts and stakeholders for comments and recommendations to improve the federal tax system. The committee is specifically seeking ideas about how to provide tax relief to the middle class; how to strengthen businesses of all sizes through the tax system; how to encourage savings and investment and remove tax-related obstacles to such; and how to update the international tax system to stay competitive in the global economy.