Abolishing the IRS; crypto as foreign asset; how to lead a firm; and other highlights from our favorite tax bloggers.
In with the old
- Tax Vox (https://www.taxpolicycenter.org/): Replacing all major federal taxes with a national sales tax — and using the opportunity to “abolish” the IRS — is a notion that’s been around for decades. The newest iteration suffers from the same problems as its predecessors.
- Mauled Again (http://mauledagain.blogspot.com/): How many understand what’s happening in the House now that a minority of a national minority has managed to take over what it intended to be a representative legislative body? The first move of the House was the passing, by a partisan vote, of the Family and Small Business Taxpayer Protection Act, which does not protect families or small businesses. Who does it protect?
- Taxbuzz (https://www.taxbuzz.com/blog): A recent report on busting billionaires and global income inequality with taxes is making a splash at the World Economic Forum (which is meeting at a ski resort).
- Don’t Mess with Taxes (http://dontmesswithtaxes.typepad.com/): The pros and cons and yin and yang over the big recent 1099-K back and forth.
Take a letter
- Eide Bailly (https://www.eidebailly.com/taxblog): Even as TAS talks IRS backlog and preparer oversight, is the problem too much oversight or not enough preparers?
- Tax Foundation (https://taxfoundation.org/blog): The House has approved their rules package for the 118th Congress; one “notable” change will require the Congressional Budget Office and the Joint Committee on Taxation to produce estimates of the “budgetary effects of changes in economic output, employment, capital stock and other macroeconomic variables” resulting from major legislation (a.k.a. “dynamic scoring”). These rules were dropped four years ago — but what are they and is it time to apply them again?
- Institute on Taxation and Economic Policy (https://itep.org/category/blog/): The tax cuts inked into law at the end of 2017 were a boon for already profitable corporations, according to a GAO report. Further, “what the GAO report really demonstrates is that no matter how you measure the federal corporate income tax, not much of it has been paid in recent years, and the 2017 tax law has brought it to a new low.”
- Marcum (https://www.marcumllp.com/insights): The IRS has finalized the partnership instructions for Schedules K-2 and K-3 for 2022. Following earlier, initial instructions and guidance, the 2022 instructions just released are more specific — and arduous to meet.
- Peisner Johnson (https://peisnerjohnson.com/blog/): If your clients who sell online need help PDQ for deep sales tax trouble, here’s what to tell them about voluntary disclosure agreements.
- John R. Dundon II EA (https://www.johnrdundon.com/): The case of a “professional gambler” who structured his highly successful operation as an S corp examines whether said corp paid the owner reasonable compensation in tax years 2019 and 2020.
- Armanino (https://www.armanino.com/articles/): What to remind biz clients who are considering IPOs about ESG issues and the SEC’s “testing the waters.”
- Gordon Law (https://gordonlawltd.com/blog/): Are cryptos foreign assets subject to FATCA and FBAR?
- Summing It Up (http://blog.freedmaxick.com/summing-it-up): Some energy tax credits in the IRA needed energetic guidance — which the IRS has now provided. A fine rundown.
Early birds
- Palm Beach Accounting and Financial Services (https://www.pbafs.com/blog): Four kinds of regret you might later have about your money — and what to do about them now.
- Avalara (https://www.avalara.com/blog/en/north-america.html): A recent survey shows how retailers in the U.S., U.K. and India are learning from the holiday shopping season just passed and preparing now for festivities at the end of 2023.
- University of Illinois Tax School (https://taxschool.illinois.edu/blog/): By this November, Illinois employers with five or more employees must register for the state-mandated retirement plan Secure Choice (unless they meet certain conditions), part of a nationwide effort to help workers build nest eggs if they don’t have access to employer-sponsored plans.
- Sikich (https://www.sikich.com/insights/): A Click in Time Dept.: Bearing in mind that the FBI found that cybercrime tripled during the pandemic, here’s what to look for in appropriate insurance.
- TaxConnex (https://www.taxconnex.com/blog-): Commonwealth, territory or our next state, Puerto Rico sure already has a sales tax.
Learning experiences
- Virginia – US Tax Talk (https://us-tax.org/about-this-us-tax-blog/): Uncle Sam taxes U.S. citizens or lawful permanent residents (green card holders); such individuals are taxed on worldwide income regardless of where they reside. Those who live outside America may be subject to income tax in the U.S. and in the foreign country of residence at the same time. How do tax treaties figure into this?
- Solutions for CPA Firm Leaders (http://ritakeller.com/blog/): Time to spread the word about learning opportunities when a hire joins a firm.
- Surgent Income Tax School (http://www.theincometaxschool.com/blog/): Walk Before You Run Dept.: Five steps to marketing your practice start with pinpointing your ideal client.
- AICPA Insights (https://www.aicpa.org/blog): Form, function and full of trust: A look at three leadership styles for CPA firms.
