Keeping CPAs Up to Date on Tax Matters
A site devoted to articles on current developments in federal taxes geared toward CPAs in tax practice.
In Treasury Decision TD 9708 the IRS provided final regulations on the charitable health needs assessment (CHNA) requirements under IRC §501(r) for charitable hospital organizations that was originally enacted as part of the 2010 Patient Protection and Affordable Care Act.
Read MoreThe start of the 2015 individual tax filing will not end up being delayed due to Congress’ December enactment of the extender legislation, the IRS announced in News Release IR-2014-119.
Read MoreIRC §7430 is a provision in the tax law meant to allow taxpayers to recover costs when the IRS acts unreasonably. However, not all unreasonable conduct by the IRS that results in costs to the taxpayer will find redress in the provisions of IRC §7430, as the taxpayer in the case of Milligan v. Commissioner, TC Memo 2014‑259 discovered.
Read MoreMost tax professionals are fully aware that a tax benefit must be claimed in the specific year it is allowed and, generally, a taxpayer cannot pick and choose which year a benefit should be claimed in. But taxpayers, even if they aren’t trying to game a system, may find it difficult to figure out which year a benefit should be claimed.
Read MoreWhen a taxpayer sells a business the sales price often is both payable over time and, rather than being a fixed amount, ends up being a number based on the performance of the acquired business. The latter is most often referred to as an “earn-out” provision and most often extends over a period of years.
Read MoreA taxpayer was able to persuade the Tax Court, if not the IRS, that he was a real estate professional who materially participated in the rental of a triplex next door to his home in the case of Smith v. Commissioner, T.C. Summary Opinion 2014-112.
Read MoreDealing with a home mortgage interest deduction when the property is held by more than one person and those individuals are paying on the mortgage but not filing a joint income tax return creates issues when preparing the tax returns for those individuals. While taxpayers often believe the rule is “we can split it however we want,” Chief Counsel Advice 201451027 reminds us that there are rules that apply in these situations.
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