Taxation

  • The IRS Resurrects Form 1099-NEC After a 38-Year Absence

    By:
    Mark H. Levin, CPA, M.S. (taxation)
    |
    Aug 5, 2019

    Beginning in 2021, for nonemployee compensation paid in 2020, payors of nonemployee compensation will no longer report it on Form 1099-Misc; they will report it on a new Form 1099-NEC. The prior version if the Form 1099-NEC was last used in 1982.

  • Fewer Companies Paying Top Tax Rate Since TCJA

    By:
    Chris Gaetano
    |
    Jul 22, 2019
    An analysis from the Wall Street Journal found that, in the wake of the Tax Cuts and Jobs Act, the average effective corporate tax rate among S&P 500 companies fell from 25.5 to 19.8 percent over two years, attributed largely to a few big companies no longer paying the top rate. 
  • Practitioners Describe an Exceptionally Vexing Tax Season

    By:
    Chris Gaetano
    |
    Jul 16, 2019

    This year’s tax season was one for the ages, according to practitioners at firms across the state, who were faced not only with an entirely new tax landscape, but also government shutdowns, software issues and a number of other headaches, as they worked their way through the 2019 busy season.

  • House Bill Would Boost IRS Funding, Raise Employee Pay

    By:
    Ruth Singleton
    |
    Jun 28, 2019

    The general appropriations bill approved by the House of Representatives on June 26would increase IRS funding by nearly $700 million in fiscal year 2020, to $12 billion. Funding for enforcement would go up by $297 million; there would also be a $67 million increase for taxpayer services and a $140 million increase for business systems modernization.

  • Taxpayer Advocate Says Too Many Stuck in Unaffordable IRS Payment Plans

    By:
    Chris Gaetano
    |
    May 30, 2019
    While the law says that the IRS must cease collections on delinquent taxpayers if payment plans would push them into economic hardship, National Taxpayer Advocate Nina Olson said this has not been the case for far too many people, whom she said the government essentially sets up to fail by placing them in unsustainable payment plans. 
  • IRS Tells Preparers to Let the Agency Know If They Were Affected by CCH Outage

    By:
    Chris Gaetano
    |
    May 15, 2019
    The IRS has issued a statement saying that tax preparers who were unable to file on time due to the outage of the popular tax software platform CCH should note it on their returns when they do file. 
  • IRS Reports $4.4B Decrease in Refunds During Recent Tax Season

    By:
    Ruth Singleton
    |
    Apr 29, 2019
    The IRS announced that the total amount of tax refunds in the recent tax season decreased by $4.4 billion, from $265.326 billion to $260.919 billion, a 1.7 percent decline.