On December 3, 2024, the United States District Court of the Eastern District of Texas placed a preliminary nationwide injunction on beneficial owner reporting (Texas Top Cop Shop Inc. v. Garland, No. 4-24-cv-00478). The Corporate Transparency Act requires many business entities to report information about their beneficial owners in a brand-new government database. Search our tax news archive ...
In Notice 2024-85, the IRS confirmed that a $5,000 threshold will apply for the 2024 tax year for Form 1099-K, Payment Card and Third-Party Transactions. Third-party payment platforms will be required to file Form 1099-K for any account if the total amount of all transactions in the account is more than $5,000 during 2024. In the same notice, the IRS also indicated that the threshold will b...
The January 1 due date for beneficial owner reporting is fast approaching. The Corporate Transparency Act requires many business entities to report information about their beneficial owners in a brand-new government database. Search our tax news archive for “beneficial owner” to see our numerous earlier posts on this topic. Registration reports for entities that existed prior to January...
Practitioners must annually certify that they have a written information security plan for protecting client data when they renew their Practitioner Tax Identification Number (PTIN) each year. Recently, the IRS updated the model plan contained in its Publication 5708, Creating a Written Information Security Plan for your Tax & Accounting Practice. Practitioners should compare their own wri...
Practitioners constantly exchange documents with clients. Many of these documents contain a treasure trove for identity thieves, so it is vital that practitioners help to make these exchanges secure. In this period after income tax due dates, practitioners can review their systems for these transfers. Email attachments that are not encrypted with a password are extremely vulnerable to interce...
With the new administration beginning on January 20, 2025, significant tax law changes are expected. While it is not advisable to act on predictions of those changes, there are certain actions that can be taken now to maximize the benefit of such new laws if/when they are enacted. Payments of certain state and local taxes could be deferred into 2025 in case there is a change to the federal lim...
Each year, after the extended due date, the IRS shuts down the e-file system to allow them to prepare it for the next tax year. The IRS recently announced the shutdown scheduled for this year, which will occur on Saturday, November 30, 2024, at 11:59 p.m. Eastern time. Practitioners who need to e-file late returns or returns for fiscal-year entities need to plan around this shutdown period....
The due date for extended returns has passed, but the due date for reporting under the Corporate Transparency Act now looms. The Corporate Transparency Act requires many business entities to report information about their beneficial owners in a brand-new government database. Search our tax news archive for “beneficial owner” to see our numerous earlier posts on this topic. Registration ...
In September 2024, the IRS announced tax relief for individuals and businesses in Suffolk County New York who were affected by the torrential rainfalls that began on August 18, 2024. (See IR-2024-234.) Unfortunately, New York State has not provided such relief, but a representative of New York State has indicated that affected taxpayers can request relief from New York State which will be cons...
In September 2024, the Financial Crimes Enforcement Network (FinCEN) updated its frequently asked questions (FAQs) to address the registration requirement for certain short-lived entities under the Corporate Transparency Act. The Corporate Transparency Act requires many business entities to report information about their beneficial owners in a brand-new government database. Search our tax news...
