In the blogs: Classified information

EITC education; onboarding is key; expats on the rise; and other highlights from our favorite tax bloggers.

Classified information

• The Wandering Tax Pro (http://wanderingtaxpro.blogspot.com/): Another option for regulation of paid preparers: a voluntary credential program administered by the IRS.
• National Association of Tax Professionals (https://blog.natptax.com/): The IRS is stepping up cooperation with the Department of Labor on pinning down employee misclassifications — including when the DOL should refer cases to the IRS Small Business/Self-Employed Division.
• Sikich (https://www.sikich.com/insights/): No less than the FBI describes ransomware as "malicious software or malware that prevents you from accessing your computer files, systems or networks and demands you pay a ransom for their return." It stinks, and it's expanding. How to protect yourself.
• Turbotax (https://blog.turbotax.intuit.com): Findings from the latest TurboTax Trends Report include shifts in adjusted gross income, job-hopping by young adults and the prevalence of crypto on returns.
• Procedurally Taxing (https://procedurallytaxing.com): The upcoming symposium "The Federal Income Tax: Racially Blind But Not Racially Neutral" is free and open to the public with in-person and Zoom attendance options — and it also comes at an inflection point for those interested in how the tax system relates racial justice.
• CPA Growth Trends (https://accountingmarketing.com/): Nominations are open for the 2023 Marketer of the Year.

Exciting and new

• Taxbuzz (https://www.taxbuzz.com/blog): Virginia has an "exciting" first-of-its-kind small-business tax break for entrepreneurs via a 10% deduction for business income.
• HBK (https://hbkcpa.com/insights/): New Jersey's new tax law includes changes for corporations, including the state's position on a requirement for certain businesses to elect S corp status. Three key provisions.
• Eide Bailly (https://www.eidebailly.com/taxblog): A state news feature joins the blog. First stories cover the constitutionality of home equity theft and how rough it can be to be a billionaire in a blue state.

Get the message

• National Taxpayer Advocate (https://www.taxpayeradvocate.irs.gov/taxnews-information/blogs-nta/): In light of an awareness day just passed, a reminder of how confusing they probably find the Earned Income Tax Credit.
• Don't Mess with Taxes (http://dontmesswithtaxes.typepad.com/): Missing filers include the estimated one-third of the EITC-eligible population that turns over each year, many of whom don't realize they can, due to life changes, now claim the break.
• Institute on Taxation and Economic Policy (https://itep.org/category/blog/): A look at the EITC's importance on the state level.
• Tax Vox (https://www.taxpolicycenter.org/): How "trusted messengers" can help ease the path of tax filing for those of low income.
• Surgent Income Tax School (http://www.theincometaxschool.com/blog/): As your high school experience probably taught you, you never get a second chance to make a first impression. Six steps to properly onboarding a client.
• AICPA Insights (https://www.aicpa.org/blog): Institute chair Anoop Mehta reflects on 2022 and shares hopes for our new year.
• Mauled Again (http://mauledagain.blogspot.com/): Arresting the actions of unscrupulous preparers on the edge of a new season sometimes takes timing as well as authority.
• University of Illinois Tax School (https://taxschool.illinois.edu/blog/): If you expect to prepare S corporation or partnership tax returns this year, you probably welcomed December's draft instructions for K-2s and K-3s. If you're unclear how to implement the provisions for your clients, though, here's a sample notification letter.
• Sovos (https://sovos.com/blog/?region=united-states): All European countries charge VAT, a consumption tax added during each production stage, on goods and services. Although VAT is near-universal, rates do differ within the EU. Here are some details.

Doesn't hurt to ask

• The Tax Times (https://www.thetaxtimes.com): The number of expats is rising. Why?
• Palm Beach Accounting and Financial Services (https://www.pbafs.com/blog): Is resilience becoming more important in personal finances?
• Federal Tax Crimes (http://federaltaxcrimes.blogspot.com/): Does tax perjury require some act of "filing" beyond receipt by the IRS? In United States v. Abramson, the latter moved to dismiss the counts related to amended corporate tax returns received by the IRS but, he alleges, not "filed" because they weren't accepted by the agency.
• Summing It Up (http://blog.freedmaxick.com/summing-it-up): Why automate accounts payable?
• Peisner Johnson (https://peisnerjohnson.com/blog/): All states with a sales tax now have economic nexus (thanks to Missouri as of this year). Is Alaska far behind?
• Current Federal Tax Developments (https://www.currentfederaltaxdevelopments.com/): In Lucas v. Commissioner, a taxpayer finds that his diabetes diagnosis did not either cause his distribution from a 401(k) to be exempt from the regular income tax nor exempt it from the 10% tax on a premature distribution.
• Wolters Kluwer (https://www.wolterskluwer.com/en/solutions/tax-accounting-us/industry-news): How individuals and sole proprietors who are no longer in business and who owe $250,000 or less in taxes may create a customized installment payment plan — with no financial statement needed.