Tax news May 2007

Tax

IRS seeks forensic accountant applicants

The Internal Revenue Service (IRS) is looking to hire nine qualified Revenue Agents for the Phoenix office. The position pays from $29,000 to $69,000 depending on work experience and other qualifications.Please contact Thomas O’Brien at 602-207-8798, Monday thru Friday, 9 a.m. to 4 p.m. or e-mail at Thomas.G.O’Brien@irs.gov to submit all necessary paperwork and schedule appointments. All required documents must be received by Monday, June 18. Interviews will be held at the IRS office, 210 E. Earll Dr., Phoenix, on Thursday, June 21.
Community News

KPMG says companies unprepared for cross-border fraud

Rapid advances in global trade and information technology appear to have increased the speed with which cross-border crimes are committed, yet most companies are unprepared to investigate fraud promptly if it occurs in a country other than the home of the parent company, according to research by KPMG International.With 92 percent of respondents in a survey saying that they expected to perform at least the same number of international investigations in the coming year as last year, 56 percent acknowledged that they have not implemented comprehensive investigation procedures.
Tax

IRS grades poorly in finding tax-exempt terrorists

The Internal Revenue Service performs poorly in the identification of tax-exempt groups that may have links to terrorists says an independent report.
Tax

IRS announces hybrid credit updates

The Internal Revenue Service announced that purchasers of qualified Ford Motor Company vehicles may continue to claim the Alternative Motor Vehicle Credit. The announcement comes after the IRS concluded its quarterly review of the number of hybrid vehicles sold. Ford sold 5,149 qualifying vehicles to retail dealers during the quarter ending March 31, 2007.
Tax

R&D tax credit lets the good ideas roll

The federal tax credit for companies that invest in R&D was renewed in December for 2006 and 2007. The tax break, known as the Research and Experimentation Tax Credit, also gained a new feature that should help more growing businesses take advantage of it--and save some serious money, says Entrepreneur.The research credit is intended to spur innovation, which has worked for Bryan Wood, owner of 43-year-old Powr-Grip Co. Inc. in Laurel, Montana.
Tax

IRS opens ETAAC applications

The Internal Revenue Service is seeking applicants for membership on the Electronic Tax Administration Advisory Committee (ETAAC). Applicants should be from large businesses who file annual corporation or partnership returns. The IRS defines large businesses as enterprises with assets greater than $10 million.
Tax

New 403(b) rules give employers more control

The long-awaited final 403(b) regulations should be released by the Internal Revenue Service (IRS) at the end of June with a general effective date of January 1, 2008, according to Robert Architect of the agency’s Employee Plans Division.
Tax

IRS collection program draws more privacy critics

Democrats and consumer advocates, citing privacy and cost concerns, renewed efforts to terminate a government program that pays private companies to collect delinquent income-tax debts. Republicans and the head of the Internal Revenue Service, which runs the program, defended the private debt collectors' efforts, saying they have netted roughly $19.5 million in tax revenue in eight months. The IRS plans to expand the program next year, and expects to collect more than $1.5 billion in tax revenue it otherwise would have forfeited.
Tax

Supreme Court rules on IRS refusals

In a unanimous decision, the Supreme Court ruled that only the U.S. Tax Court may review refusals by the Internal Revenue Service to reduce interest payments on people who underpay their taxes.The decision was required in the case of a couple -- John and Pamela Hinck -- assessed additional taxes. The Hincks sued for an $18,000 interest refund in the U.S. Court of Federal Claims, alleging delays in processing their case.Chief Justice John Roberts said federal law specifies that the tax court provides the exclusive jurisdiction for such cases.
Technology

IRS rules hospitals may assist physicians with healthcare IT

Not-for-profit hospitals may provide financial assistance to staff physicians to “acquire and implement software that is used predominantly for creating, maintaining, transmitting or receiving electronic health records (EHRs) for their patients,” according to a directive issued by the Internal Revenue Service (IRS) last week. The provision of this IT assistance will not violate section 501(c)(3) of the Internal Revenue Code, the agency concluded in a two-page memo.
Tax

What the IRS looks for in tax preparers

The 2007 tax season may be months away, but the Internal Revenue Service is already providing taxpayers with tips on how they should select tax preparers. The IRS offers that most return preparers are professional, honest and provide excellent service to their clients.Taxpayers are encouraged to consider the following points when someone else prepares their return:A Paid Preparer is required by law to sign the return and fill in the preparer areas of the form. The preparer should also include their appropriate identifying number on the return.
Community News

Anti-Money Laundering Leader Joins KPMG

Former federal prosecutor and banking executive Teresa Pesce has joined KPMG LLP’s Forensic Practice to lead its Anti-Money Laundering (AML) service line, the U.S. audit, tax and advisory firm has announced. In addition, she will help direct criminal and regulatory investigations for clients. She is based in New York.
Technology

2007 Sets Record for E-files, Direct Deposits

The recently completed 2007 tax filing season set a number of electronic records, highlighted by over 76 million electronically-filed individual tax returns and more than 140 million visits to IRS.gov, the Internal Revenue Service said.“E-file and our other electronic services helped us deliver a strong filing season for the nation’s taxpayers,” said IRS Acting Commissioner Kevin M. Brown. “Again this year, millions of additional taxpayers gave up paper tax returns to file electronically.
Tax

New Electronic Filing Requirement for Small Tax-Exempt Organizations

Beginning in 2008, small tax-exempt organizations that previously were not required to file returns may be required to file an annual electronic notice, Form 990-N, Electronic Notice (e-Postcard) for Tax-Exempt Organizations not Required To File Form 990 or 990-EZ. This filing requirement applies to tax periods beginning after December 31, 2006.Small tax-exempt organizations, whose gross receipts are normally $25,000 or less, are not required to file Form 990, Return of Organization Exempt From Income Tax, or Form 990-EZ, Short Form Return of Organization Exempt from Income Tax.
Tax

IRS Adds Inclusions to Credit Program

The Internal Revenue Service has expanded its credit card payment program to include trust fund recovery penalty liabilities (quarters from 1Q97 to 4Q06), current and former Forms 940 and 941, as well as balance due payments on the new Form 944.For more information on the credit card payment program, http://www.irs.gov/efile/article.
Tax

IRS to Redesign Form 990

The Internal Revenue Service is preparing to redesign its Form 990, “Return of Organization Exempt From Income Tax,” according to reports.The forms filed by nonprofit organizations to allow donors to monitor how a charity handles donations, as well as a tool for the government to verify an organization's tax-exempt status.
Tax

Issues Spouse-owned Businesses Should Consider

One of the advantages of operating your own business is hiring family members. However, the employment tax requirements for family employees may vary from those that apply to other employees. How Spouses Earn Social Security BenefitsA spouse is considered an employee if there is an employer/employee type of relationship, i.e., the first spouse substantially controls the business in terms of management decisions and the second spouse is under the direction and control of the first spouse.
Tax

Texas to Offer Taxpayer Amnesty

Taxpayers in Texas will have the opportunity to take advantage of a tax amnesty program this summer.Between June 15 and August 15 the Comptroller will waive penalties and interest on all delinquent tax payments except unclaimed property and the Public Utilities Commission gross receipts assessment.Not surprisingly, amnesty will not be granted for taxpayers currently under audit or review, or those who have already been contacted by the Comptroller about a possible deficiency.
Tax

Will Fed's Peek at Personal Finances Remain Secret?

Federal Reserve Chairman Ben Bernanke has announced plans to analyze key facts about the personal finances of thousands of Americans, and he is promising that the information will be held in strict confidence. The Fed sent out letters last week to approximately 10,000 families living in 79 cities and towns around the country asking them to participate in the central bank's latest "Survey of Consumer Finances." The survey, which has been tallied once every three years since 1983, provides detailed information for the central bank and other economic researchers into household finances.
Tax

Phase-Out of Credit for Toyota, Lexus Hybrids

An Internal Revenue Service review of Toyota Motor Sales USA, Inc.'s, 2007 first quarter sales will allow purchasers of Toyota and Lexus vehicles to continue to claim the Alternative Motor Vehicle Credit. Based on the number of vehicles sold, the phase-out period for Toyota vehicles began on Oct. 1, 2006.Toyota sold 61,369 qualifying vehicles to retail dealers in the quarter ending March 31, 2007. This brings the cumulative sales of qualified Toyota hybrid vehicles sold from the period of Jan. 1, 2006, through March 31, 2007, to 273,442.

Pages


Already a member? log in here.