The latest straight from the IRS — new rules, deadlines, guidance, and announcements explained in plain English.
The Internal Revenue Service (IRS) is emphasizing that no action is required by eligible taxpayers for the second round of Economic Impact Payments (EIPs, or stimulus checks). As noted earlier, initial direct deposit payments began arriving as early as last night for some and will continue into next week. Paper checks will begin to be mailed on…
Need an Employer Identification Number, or EIN? You’ll have to wait a few days to apply for one online. The IRS has announced that the service is temporarily unavailable: This service will be unavailable from approximately 5 p.m. Eastern time on Wednesday, Dec 23, 2020, until approximately 7 a.m. Eastern time on Monday, January 4, 2021,…
If you owe the Internal Revenue Service (IRS), you may be able to apply for a payment plan online to pay off your balance over time – but not right now. The IRS has scheduled a planned outage for the service. The website currently says: This service will be unavailable from approximately 12 a.m. (midnight)…
56 cents per mile for business miles driven (down from 57.5 cents in 2020) 16 cents per mile driven for medical or moving purposes (down from 17 cents in 2020) 14 cents per mile driven in service of charitable organizations (currently fixed by Congress) You can find these official rates and more in IRS Notice…
The Internal Revenue Service (IRS) has issued final regulations relating to section 1031 like-kind exchanges. 1031 Like-Kind Requirements We call them 1031 like-kind exchanges because the rules are found at section 1031 of the Tax Code (clever, I know). The provision allows you to defer tax on gain if – and it’s a big if…
#TaxTwitter has been abuzz about a flurry of notices of intent to levy (CP504) sent to taxpayers this week. The notices appear to have been sent out without regard for individual taxpayers circumstances with tax practitioners reporting receipt by taxpayers previously marked as CNC (currently not collectible), taxpayers with pending offers, and taxpayers who have…
The Internal Revenue Service (IRS) continues to take steps forward in efforts to protect taxpayer data. Two years ago, the IRS moved to provide more privacy for individual taxpayers; now, beginning on December 13, 2020, the IRS will start masking sensitive data on business tax transcripts. If you’re scratching your head because that doesn’t feel…
The Internal Revenue Service (IRS) has announced some changes to its collections processes to assist taxpayers who have been impacted by COVID-19. Specifically, the IRS says it is expanding taxpayer options for making payments and alternatives to resolve balances owed. “The IRS understands that many taxpayers face challenges, and we’re working hard to help people…
The Internal Revenue Service (IRS) has announced the annual inflation adjustments for the tax year 2021 – and that includes penalty amounts. Here’s a quick look at some of the most common: Failure-To-File Penalty It’s important to file even if you can’t afford to pay because the IRS imposes a failure-to-file penalty if you don’t file…
The Internal Revenue Service (IRS) has announced that more than a dozen new seminars from the 2020 Nationwide Tax Forums are now available on IRS Nationwide Tax Forums Online. The self-study seminars provide use interactive videos, PowerPoint slides and audio transcripts. Here’s the list of the new courses: Advocating for Immigrant Taxpayers Advocating…