The ARP and local aid; advocating for higher taxes; a question of dependency; and other highlights from our favorite tax bloggers.
Coping and hoping
- Wolters Kluwer (
http://news.cchgroup.com/ ): What firms did a year ago to cope with COVID, how these reactions served the firms who had them — and how each type of reaction can plan and prepare for a stronger future. - Tax Vox (
https://www.taxpolicycenter.org/ ): The Treasury Department has released much-anticipated guidance for the American Recovery Plan’s $350 billion in direct state and local aid, including details on how it will implement the law’s restriction on using ARP funds for state tax cuts. The rules give states plenty of flexibility, but until states spend all their ARP funds, they need to focus on two numbers. - National Taxpayer Advocate (
https://www.taxpayeradvocate.irs.gov/taxnews-information/blogs-nta/ ): Pandemic-inspired modifications to the 2020 and 2021 filing seasons were much needed and appreciated by taxpayers (though some nights they must’ve driven preparers to eye the toaster and the bathtub with more than morbid curiosity). But good intentions often lead to unintended consequences. Taxpayers who file a claim for refund after April 15 for tax years 2019 or 2020 may have a timely filed claim, but the amount may be unexpectedly rejected in 2023 or 2024 because the IRS postponed the filing deadlines in 2020 and 2021 rather than extended them. Anybody using the toaster? - Solutions for CPA Firm Leaders (
http://ritakeller.com/blog/ ): Accounting firms never made the switch to an open office — private offices have always been the dream of up-and-comers in firms — but neither option seems completely practical for the layout of the future firm. Here’s a look at what Google did after they moved out of that first cluttered garage. - Sikich (
https://www.sikich.com/insights/ ): A look at the advantages of going off-premises with servers, in the shadow of the gasless stations in the Southeast.
More than bare bones
- Procedurally Taxing (
https://procedurallytaxing.com ): How conducting voter registration drives at VITA sites prompted a significant number of previously unregistered voters to register and vote. - The Tax Times (
https://www.thetaxtimes.com ): Just how "deceptively simple" is the sneaky 706 NA? - Federal Tax Crimes (
http://federaltaxcrimes.blogspot.com/ ): Some FBAR willful penalty collection suits are bare bones, asserting only the essentials. In United States v. Gaynor, however, the government goes beyond the essentials with a detailed recounting of damning facts. Cool! - Mahaney Law (
https://www.mahanyertl.com/blog/ ): An example of how the IRS whistleblower program for offshore tax evasion is still on the job. - Bloomberg Tax (
https://pro.bloombergtax.com/news-insights/ ): A group of tech giants is pushing for something companies almost never ask for: higher taxes. The Chamber of Progress, a group of Silicon Valley companies that recently banded together to counter some of the anti-tech undercurrents on Capitol Hill, describes itself as “not just another business group.”
Not all in the head
- Surgent Income Tax School (
http://www.theincometaxschool.com/blog/ ): Policies and procedures cannot merely exist in your head. (Would you want to live there?) If you run a tax business and employ others, writing an operations manual is vital. Here’s the why and how. - Financial Cents Accounting Blog (
https://financial-cents.com/blog/ ): The plusses of CPA management software — a tool proponents say is the big step toward the next level for firms. - National Association of Tax Professionals (
https://blog.natptax.com/ ): This week’s “You Make the Call” examines a client’s son, 25, who lives at home with his parents. His only source of income is $14,000 of Social Security Income, which he uses to chip in on household expenses and otherwise support himself. The parents provide all other support for their son. Can the parents claim the son as a dependent? - Taxjar (
http://blog.taxjar.com/ ): Are medical supplies taxable? As usual with sales tax, it depends. - Palm Beach Accounting and Financial Services (
https://www.pbafs.com/blog ): What to tell big earners about saving for retirement. - Turbotax (
https://blog.turbotax.intuit.com ): The high points of what to remind them about taxes and working from home.
Southern comforts
- Sovos (
https://sovos.com/blog/?region=united-states ): Alabama just became the latest state to legalize direct-to-consumer shipping of wine. A look at the conditions of compliance. - Rubin on Tax (
http://rubinontax.floridatax.com/ ): Florida’s version of the Uniform Directed Trust Act has passed both houses of the state legislature and is expected to be signed into law. Chuck Rubin, chair of the Florida Bar subcommittee that reviewed and adapted the Uniform Directed Trust Act, and Jenna Rubin, who served on the subcommittee, review of the key provisions that practitioners should know.
