The IRS recently announced a letter campaign, issuing one of three letters to taxpayers regarding virtual currency. Two of the letters are informational, sent to taxpayers who may have had a requirement to report virtual currency transactions but did not do so (Letter...
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Month: July 2019
IRS Begins Enforcement of Virtual Currency Taxation
If you dealt in virtual currency in recent years, you may soon receive a letter from the IRS regarding a potential failure to report income and pay related taxes, according to a recent IRS announcement. The federal tax agency is beginning to reach out to taxpayers as...
National Taxpayer Advocate Publishes Guide to Modern U.S. Tax System
The National Taxpayer Advocate Service (TAS) recently published an illustrated "taxpayer roadmap" showing the many stages of federal tax administration in the U.S., from tax preparation to audits, appeals, collection, and litigation. To view the map in detail,...
IRS Releases Draft Updates to Federal Tax Forms for 2019
The Internal Revenue Service (IRS) recently released drafts of the 2019 Form 1040 and various related schedules for review. The draft forms are available for review here. Comments should be sent to [email protected].
Relief for California Out-of-State Retailers Qualified as Marketplace Sellers
For months, many out-of-state retailers have been working to determine the extent to which they may owe tax to California for sales made in prior years, even though they had no physical nexus in California. Following the U.S. Supreme Court's decision in Wayfair v....
Better Pay Online! Paper Payments to FTB Significantly Delayed in June
The California Franchise Tax Board (FTB) recently issued a news blast that many payments sent by mail to the state tax agency in June were delayed significantly due to post office issues. When the mail finally caught up on June 9th, the FTB received some 115,000...
California Offers Relief for Qualifying Out-of-State Retailers Selling Through Fulfillment Centers
The California Department of Tax and Fee Administration (CDTFA) recently announced it is offering relief to certain out-of-state retailers (referred to as "marketplace sellers") who are considered to be engaged in business in the state of California based solely on...
U.S. Supreme Court Decides in Favor of Out-of-State Trusts in Tax Case
The U.S. Supreme Court recently issued a unanimous decision in North Carolina Dept. of Revenue v. The Kimberley Rice Kaestner 1992 Family Trust, ruling that residence in a state is not a sufficient reason to tax an out-of-state trust's undistributed income. Justice...
Trump Signs Taxpayer First Act
The Taxpayer First Act signed into law by President Trump requires the IRS to make important changes that will benefit taxpayers and improve tax administration. Low-income taxpayers who owe money to the IRS now have protection from private debt collectors, and certain...
FTB Update on 2019 Tax Filing Season
The California Franchise Tax Board (FTB) recently released some initial data on the 2019 tax filing season. As of June 1st, the FTB had processed 17.4 million personal income tax returns, a vast majority (88%) of which were e-filed. A total of $11.7 billion in...
