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 personal income tax refunds were issued to 12 million individual taxpayers, 98% of whom received their refunds within 30 days of filing. The FTB also received 1.1 million business entity returns and issued 92,000 refunds to business taxpayers, totaling $553 million. To read the full update, click here.
The Treasury Inspector General for Tax Administration (TIGTA) released a report providing interim results for the 2018 federal tax filing season. As of March 2, 2018, the Internal Revenue Service (IRS) had received approximately 61 million tax returns and issued over 48 million refunds totaling almost $148 billion.
The California Tax Education Council (CTEC) began a public awareness campaign for the 2018 tax filing season targeting "ghost tax preparers," meaning paid tax professionals who do not sign the returns they prepare. The Council reminds taxpayers that "tax preparers who charge a fee to do your taxes, but never sign your tax return are breaking the law." Hiring a ghost preparer could lead to tax refund fraud, penalties, or additional taxes. For more information from CTEC on this issue, click here.
The California Franchise Tax Board (FTB) has updated certain aspects of tax return filing starting with returns for tax year 2017. The standard deduction for taxpayers filing as single increased to $4,236; for taxpayers who are married filing jointly, the new standard deduction is $8,472. Personal exemptions were also raised to $114 and $228, respectively.
The Internal Revenue Service (IRS) recently announced that taxpayers who reside or have a business in the California counties that were affected by the recent wildfires, flooding, mudflows, and debris flows may qualify for federal tax relief. Certain deadlines may be extended and penalties may be abated for taxpayers located in the covered disaster area. Taxpayers located outside the disaster area, but whose records necessary to meet a federal tax deadline are in the covered area, may also qualify for relief. For more information, click here.
The Internal Revenue Service (IRS) announced that the federal tax filing season will begin on Monday, January 29, 2018. The deadline for individual tax returns will be Tuesday, April 17, 2018.
The California Franchise Tax Board (FTB) released highlights from the 2017 filing season in its most recent newsletter. The number of personal income tax returns filed has increased 1 percent since the last filing year, and business entity returns filed has increased by 3.4 percent. The FTB issued over 12 million personal refunds for the 2017 season, totaling $12.6 billion, and over 165,000 business refunds, totaling $837 million.
The Internal Revenue Service (IRS) released some initial statistics about the 2017 tax filing season. In the week ending April 21, 2017, the IRS received over 17 million tax returns, of which 13.6 million were e-filed. The last-minute surge brought the filing season total to 135.6 million, approximately the same as last year.
Darryl Genis, a 60-year-old DUI attorney practicing in Santa Barbara County, California, pled guilty recently to three counts of willfully failing to file tax returns between 2009 and 2011, and admitted to willfully failing to pay taxes for the same years, totaling nearly $680,000. He also admitted to underpaying taxes for the years 2005 through 2012. Genis agreed to pay civil penalties for all years at issue, and he faces up to three years of imprisonment.
If your company contracts with the Department of Defense, General Services Administration, or the National Aeronautics and Space Administration (NASA), you have one more reason to be compliant with your federal tax obligations: Effective September 30, 2016, these agencies will no longer award contracts to corporations having delinquent Federal tax liabilities or a felony conviction under any law. This includes any assessed liabilities such as unpaid income tax, employment tax, payroll withholdings, and social security and Medicare taxes that are not contested or paid on time.