New issues come into focus as the IRS focuses scrutiny on high-income taxpayers, partnerships and corporations, as well as those who promote the abuse of tax rules. The IRS has formally given notice that it intends to refocus attention from working-class taxpayers to wealthy and high-income audit targets. The notice,...
The IRS Completed the “Dirty Dozen List” for 2023
The IRS completed the “Dirty Dozen List” for 2023 and while there were a few hold-outs from previous years, there were several new warnings in the offering for 2023. The first warning focused upon the aggressive promotion of claiming Employee Retention Credit and the risk of scammers, basically warning if...
Important New Requirement from the IRS for US Businesses
There is an important new requirement from the IRS for US businesses based upon a new release from the IRS. Any US business who receives a cash payment exceeding $10,000 is required to file Form 8300 – “Report of Cash Payments Over $10,000 Received in a Trade or Business” to...
IRS Warns of Shady Tax Preparers and Increased Audit Risk
In a recently released bulletin, IR-2023-59, the IRS warns of shady tax preparers and increased audit risk as part of their “Dirty Dozen” series. The IRS provided some common “warning signs” including tax preparers who base their fee on the size of the refund they are able to obtain for...
California and IRS Extended Income Tax Deadlines are Rapidly Approaching
The California and IRS extended income tax deadlines are rapidly approaching as we near the deadline in mid-October. In the first few months of 2023 California and the IRS extended income tax deadlines and associated payments until October 16, 2023. This extension applied to all businesses and individual taxpayers (married...
IRS Modifies and Clarifies Roth IRA Plan Catch-Up Payment Requirements
A recent announcement from the IRS (IR-2023-62) modifies and clarifies Roth IRA catch-up payment requirements for contributors who are aged 50 or older. IR-2023-62 delayed mandatory Roth IRA catch-up payments for high income taxpayers above the age of 50 earning more than $145,000 until 2026. Recent legislation (SECURE 2.0 Act,...
The US Treasury Department and IRS Have Released New Proposed Regulations on Sales and Exchanges of Digital Assets
The US Treasury Department and the IRS have released new proposed regulations on sales and exchanges of digital assets such as cryptocurrencies and Non-Fungible Tokens or NFTs. What taxes would a US taxpayer owe associated with cryptocurrency transactions or the Sale of a Non-Fungible Token? The proposed rules are open...
IRS Warns High Income US Taxpayers and Millionaire Non-Filers
The IRS has recently issued an ominous notice (#IR-2023-126) in which the IRS warns high income US taxpayers and millionaire non-filers that the IRS is targeting them to conduct audits, identify and collect undeclared income and unpaid taxes while considering criminal tax evasion charges in many cases. The IRS discusses...
Extended Income Tax Deadlines for California and the IRS
Extended Income Tax Deadlines for California and the IRS Are you searching for information regarding extended income tax deadlines for California and the IRS in 2023? California has joined the IRS in extending the deadline for filing 2022 income tax returns and associated payments until October 16, 2023. The extension...