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Tax Pro Identity Theft

UncategorizedJuly 17, 2016256Views 0Likes 0Comments

Tax Pro Identity Theft. Beware of identity theft Targeting tax professionals. Cyber-criminals have a new scam. First, they control your computer remotely to file false tax returns. Second, they steal tax refunds. Furthermore, the criminals steal sensitive client information. This scam is a big deal to the IRS. Therefore, these crimes pose a significant threat to tax professionals. What's good for the goose... As a result, tax pros should…

Get an IRS Notice?

UncategorizedJuly 17, 2016182Views 0Likes 0Comments

Get an IRS Notice? First, the IRS normally sends correspondence in the mail. Second, it sends millions of letters to taxpayers every year. As a result, keep these important points in mind if you get a letter or notice: Don’t Ignore It. You can respond to most IRS notices quickly and easily. Follow Instructions. Read the notice…

New IRS Form for PAC

UncategorizedJuly 17, 2016380Views 0Likes 0Comments

New IRS Form for PAC. There is a new IRS Form for a PAC, which stands for Political Action Committee. See IRS Code Section 501(c)(4). The Legislation Congress enacted legislation at the end of 2015. Congress added section 506 to the Internal Revenue Code. Section 506 requires an organization to notify the IRS of its intent to operate as…

New IRS QI Agreement

UncategorizedJuly 17, 2016250Views 0Likes 0Comments

New IRS QI Agreement (Qualified Intermediary). Notice 2016-42 sets out the proposed Qualified Intermediary (“QI”) agreement revising and updating the current agreement, Rev. Proc. 2014-39, published in July 2014. The revised QI agreement updates the current agreement primarily by providing detailed procedures regarding how qualified intermediaries satisfy their compliance review obligations and sets out terms and…

Premium Tax Credit

UncategorizedJuly 17, 2016221Views 0Likes 0Comments

Premium Tax Credit. It’s Time for a PTC Checkup for your 2016 Health Insurance Marketplace Coverage. If you receive the PTC, advance payments are paid directly to your insurance company that lower the out-of-pocket cost for your health insurance premiums. If you or your family member receive advance payments of the premium tax credit, it's a good time of year to…

Tax Preparer ID Theft

UncategorizedJuly 17, 2016244Views 0Likes 0Comments

Tax Preparer ID Theft. IRS, Partners Warn Tax Preparers of Data Theft Risks; Launch New Campaign to Increase Awareness. WASHINGTON — Leaders from the Internal Revenue Service, state tax agencies and tax preparation community today warned tax preparers that they increasingly are targets of cybercriminals. Tax Pros should take appropriate steps to protect clients from data theft. In…

FATCA FAQs

UncategorizedJuly 17, 2016278Views 0Likes 0Comments

FATCA FAQs Qualified Intermediaries/Withholding Foreign Partnerships/Withholding Foreign Trusts. Q1. How does a Financial Institution that is not currently a Qualified Intermediary (“QI”), a Withholding Foreign Partnership (“WP”), or a Withholding Foreign Trust (“WT”) register to become one? Q2. How do FIs that are currently QIs, WPs and WTs renew their agreements? Q3. I am not currently a QI/WP/WT. Can…

Offer in Compromise

UncategorizedJuly 17, 2016270Views 0Likes 0Comments

Offer in Compromise (OIC). Should you consider an Offer in Compromise? An Offer in Compromise allows you to settle your tax debt for less than the full amount you owe. It may be an option if you can't pay your full tax liability. Also, the OIC may be an option if paying your full tax liability creates a financial hardship…

Partnerships, Withholding on Foreign Recipients of U.S. Income, Tax Year 2013

UncategorizedJuly 17, 2016204Views 0Likes 0Comments

Partnerships, Withholding on Foreign Recipients of U.S. Income, Tax Year 2013. A new table presenting data from Form 8805, Foreign Partner's Information Statement of Section 1446 Withholding Tax, is now available on SOI’s Tax Stats Webpage. The table presents U.S. income and tax withheld as reported on Form 8805, by country of residence for Tax Year 2013,…

Foreign Earned Income Exclusion

UncategorizedJuly 17, 2016237Views 0Likes 0Comments

Foreign Earned Income Exclusion. In general, a U.S. citizen or a resident alien of the United States living abroad is taxed on their worldwide income. However, these taxpayers may qualify to exclude from income up to an amount of foreign earnings that is adjusted annually for inflation ($100,800 for 2015 or $101,300 for 2016). In addition,…

Amended Tax Returns

UncategorizedJuly 16, 2016225Views 0Likes 0Comments

Amended Tax Returns. You may discover you made a mistake on your tax return. You can file an amended return if you need to fix an error. You can also amend your tax return to claim a tax credit or deduction. Here are 10 tips from the IRS on amending your return: When to amend. You should…