In a letter to IRS Commissioner John Koskinen on Wednesday, AICPA officials wrote that the agency's proposed voluntary certification program would cause confusion among the tax administration and tax preparation community.
The agency decided not to file a petition with the US Supreme Court by the May 12 deadline to continue a court battle on whether it has the legal authority to mandate testing and continuing education of paid tax return preparers.
The Treasury Inspector General for Tax Administration found that 22 to 26 percent of all EITC payments were issued improperly by the IRS last year, costing taxpayers between $13.3 billion to $15.6 billion.
An article posted yesterday by the website Tax Analysts questions whether the House panel broke the law when it publicly disclosed confidential taxpayer information in a letter to US Attorney General Eric Holder last month.
The agency estimated last week that approximately 5 million taxpayers will amend their federal income tax returns by filing Form 1040X this year. Those who need to amend their returns should do so only after filing the original return.
The IRS strongly encouraged taxpayers to file their 2013 federal income tax return electronically versus mailing a paper return to the agency. So far, 88 percent of the returns the IRS received this tax season were e-filed.
The House Oversight and Government Reform Committee today voted in favor of holding ex-IRS official Lois Lerner in contempt of Congress because she had twice refused to answer the panel’s questions regarding the IRS’s targeting of conservative groups.
During undercover site visits to 19 randomly selected commercial tax-preparation businesses, only two preparers calculated the correct refund amount on a taxpayer’s return, according to a new study released by the US Government Accountability Office (GAO) on Tuesday.
During a Senate Finance Committee hearing on Tuesday morning, the head of the IRS urged lawmakers to pass legislation that would authorize the agency to regulate the nation’s estimated 600,000 to 700,000 paid tax return preparers.