2016 Rates – 2017 Limits

TAX RELATED INFORMATION FOR CERTAIN 2016 ADJUSTMENTS AND 2017 TRANSACTIONS Form 1099-MISC and related backup withholding for 2016 & 2017: Federal 1099-MISC Information Forms must be completed by January 31, 2017 for certain payments of $600 or more made during 2016 … Continue reading →

Taxpayer Bill of Rights

BACKGROUND: A taxpayer survey conducted for the Taxpayer Advocate Service (TAS) in 2012 found that fewer than half of U.S. taxpayers believe they have rights before the IRS, and only 11 percent said they know what those rights are. On … Continue reading →

Top ten tax benefits to military personnel

Special tax benefits apply to members of the U. S. Armed Forces. For example, some types of pay are not taxable. And special rules may apply to some tax deductions, credits and deadlines. Here are ten of those benefits: Deadline … Continue reading →

Gambling income is taxable

Whether you like to play bingo, poker, the lottery, the ponies, the slots, or roll the dice, your gambling winnings are taxable. You must report all your gambling income on your tax return. Here are some basic facts to remember: … Continue reading →

Tax treatment for virtual currency transactions

A taxpayer who receives virtual currency as payment for goods or services must include in gross income the fair market value of the virtual currency, measured in U.S. dollars, as of the date that the virtual currency was received.  If this amount is … Continue reading →

The IRS Examination Process (Audits by Mail)

While most tax returns are accepted as filed, some tax returns are selected for audit to determine if income, expenses, and/or credits are being reported accurately.  This selection may be triggered by specific items on the tax return filed that are controversial … Continue reading →

Use EFTPS Inquiry PIN to ensure tax deposits are correct

Employers using a third-party payroll service provider are responsible for their tax obligation if federal tax deposits are not made or are not timely. In recent years there have been many cases of third-party payroll service providers routinely impounding the employee tax withholdings and employer … Continue reading →

New Form 1023-EZ for easier 501(c)(3) exempt status application

The draft Form 1023-EZ, “Streamlined Application for Recognition of Exemption Under Section 501(c)(3) of the Internal Revenue Code,” announced in the Federal Register March 31, is a shorter and less burdensome version of the Form 1023. Most small exempt organizations … Continue reading →

Unpaid Debt Can Affect Your Refund

If you owe a debt that’s past-due, it can reduce your federal tax refund. The Treasury Department’s Offset Program can use all or part of your refund to pay outstanding federal or state debt. Here are ten facts to know … Continue reading →

Ten Things to Know about IRS Notices and Letters

Each year, the IRS sends millions of notices and letters to taxpayers. Here are ten things to know if you receive one of these notices: Don’t panic. You often only need to respond to take care of a notice. There … Continue reading →