IRS Feed

UPDATE, Oct. 15: Additional areas in Florida, Georgia, North Carolina, South Carolina and Virginia now receive tax relief in connection with Hurricanes Florence and Michael. Details below. Monday, Oct. 15 is a big tax day for millions. The Internal Revenue Service says more than 14 million taxpayers requested added time to complete their 2017 tax returns. While not all of them put off that tax task until the very last minute, it's a safe bet that a lot did. If' you're among that group of uber-procrastinators, I wish you well in getting the job done by tomorrow. The tax and... Read more →


Did you get an extension back in April to wait until Oct. 15 to file your 2017 tax return? Guess what? That's Monday. Like this coming Monday. Like three days from now! Sorry. That means no weekend fun for you. You need to spend your weekend, or at least part of it, working on your 2017 Form 1040. I feel for all y'all ultimate procrastinators. I've been there, but not this year, thank goodness. The hubby and I still got an extension, joining more than 14 million other taxpayers who sidestepped the April 18 deadline, but we filed our return... Read more →


Port St. Joe on Florida's Panhandle was hard hit by Hurricane Michael. Residents of this small Gulf County, Florida, town now are eligible for special tax relief. (Photo courtesy Florida National Guard via Facebook) As expected, the Internal Revenue Service is giving Hurricane Michael victims extra time to take care of tax tasks that the deadly storm interrupted. The eligible taxpayers now have until Feb. 28, 2019, to file returns, pay taxes and perform certain other time-sensitive acts that had original or extended deadlines between Oct. 7 and the new filing due date next year. Extension deadline considerations: The IRS'... Read more →


Things certainly have changed over the years when it comes to tax filing, especially from the technology perspective. But upgrading all today's IRS computer systems could mean a delayed 2019 tax filing season. (Photo via Wikimedia Commons) As 2018 winds down, we're all looking at tax moves we need to make. (Need some ideas? Check out the suggested October tax tasks to tackle.) In addition to us individual and business filers, "we" also includes the Internal Revenue Service. And the tax agency could have some added trouble this year, thanks to all the changes made late last year by the... Read more →


If you're getting calls from debt collectors, knowing your rights can help you avoid the bad ones who will say anything to get you to pay. Click image above to watch a video from the Federal Trade Commission on how to handle abusive collection calls. Full disclosure up front. I am not a fan of private bill collectors going after unpaid federal tax amounts. But a recent oversight examination found that the debt collectors hired in this latest forced outsourcing of a basic IRS responsibility apparently aren't using egregious collection methods. Still, as the Treasury Inspector General for Tax Administration... Read more →


Manhattan businessmen meet over lunch. (Photo by Phillip Capper via Flickr Creative Commons) The way to a business contract is through a client's stomach. That revised adage underscores what every business person, whether they run a major corporation or a mom-and-pop company, knows: that personal relationships are key to success. And much of the time, those relationships are cemented over business meals. Business meals still tax deductible: The Internal Revenue Service this week gave business a break — or really left a tax break in place — when it comes to deducting the cost of business meals. The tax agency... Read more →


My octogenarian mother does an amazing job of taking care of herself and her little dog, aka my furry younger brother. My mother and her pup come to our place, like the Thanksgiving visit pictured here, but usually it's me taking time from work to head her way. (Photo by Kay Bell) But since she no longer drives and hates to impose on friends and neighbors, I make regular trips to her place to help her run errands, take her to doctor appointments and just visit. It's not too much of a hassle because she lives relatively close and it's... Read more →


Tax litigator Charles Rettig (far left) is sworn in on Oct. 1 as new IRS commissioner by his boss, Treasury Secretary Steven Mnuchin (far right). (Photo courtesy Mnuchin's Twitter account) It's official. Charles P. "Chuck" Rettig is the Internal Revenue Service's 49th commissioner. He moved into his new office on Monday, Oct. 1, almost 11 months after his predecessor, John Koskinen, left the job. After 36+ years with the California-based law firm of Hochman, Salkin, Rettig, Toscher & Perez, P.C., Rettig now will be in charge of around about 80,000 employees and a budget of approximately $11 billion. Rettig's official... Read more →


October's here! In addition to making some general fourth quarter tax moves, this month is when many employees get to reassess and choose coming-year workplace benefits, many of which also offer tax advantages. And tax-free help paying off student debt could soon be part of those packages. Millennials have overtaken Baby Boomers as the largest generation in the U.S. labor force. That's why today's employers are trying to figure out exactly what these younger workers want. The traditional worker wishes still apply. All employees want decent pay, regular raises and promotion possibilities. But today's twenty- and mid-thirty-somethings want more, and... Read more →


Hey, Uncle Sam, one of the funniest actresses out there is not feeling very cheerful right now and it's your fault. Tiffany Haddish is looking for a little gratitude from your tax collector. In a recent Instagram video, the award-winning star of the just-released "Night School" asked the Internal Revenue Service why, even though she pays her taxes "on time every year all the time," she never gets any thanks for her efforts. She doesn't let her state tax officials, the California State Franchise Tax Board, off the hook either for their similar lack of tax love. Shout outs all... Read more →


The Powerball and Mega Millions jackpots already are close to a combined $600 million. As the drawing times near, more people will play, creating even larger eventual jackpots. Of course, the chances of winning both drawings — roughly 1 in 75 quadrillion (that's 15 zeros) by one estimate — is even more minuscule than the general winnings odds of either alone. Still, millions of us will buy lottery tickets. Full disclosure: I'm one of them. Don't judge me. But don't call me either if I win! In fact, whoever wins Mega Millions major jackpot on Tuesday (Oct. 2), which as... Read more →


Old-school passbook savings accounts are safe, but have been paying minuscule interest over the last few years. The White House might be unhappy, but all of us with money in safer assets like certificates of deposit (CDs) or plain-old savings accounts are sending the Federal Reserve Board of Governors, aka the Fed, a big fat thank you. The Fed's decision yesterday (Wednesday, Sept. 26) to raise rates to a range between 2 percent and 2.25 percent means we'll be seeing few more pennies of earnings in our accounts. And it is just pennies. Those of us old enough to remember... Read more →


You took that great new job last November. It was a bit of hassle, a quick move three states away, but worth it. You love your work, office colleagues and neighborhood where you and your family have settled. Even better, your new employer covered most of your relocation costs. The bad news, though, is that your boss didn't get you the check reimbursing your moving expenses until this summer. That means you'll owe tax on that moving money, right? Wrong! New law, old rule: Although the Tax Cuts and Jobs Act (TCJA) did eliminate the tax break for most* work-related... Read more →


The Internal Revenue Service (and I and my fellow tax bloggers) have been noting the need for folks to get their payroll withholding amounts correct under the recent tax law changes. Reporting any adjustments, however, will continue to be done on the old Form W-4, since folks who help implement the forms alerted the IRS of the many issues they have with the proposed document. You followed the Internal Revenue Service's nagging advice and did a paycheck checkup. This, in case you aren't one of the checking taxpayers, is a look at your current payroll withholding to ensure that the... Read more →


Do you have thoughts about the Internal Revenue Service's plan to stymie state efforts to work around the new $10,000 federal deduction limit on state and local taxes? You are not alone. On Aug. 23, the IRS issued a proposed rule designed to rein in state efforts to give their residents a way to get a tax write-off for all of their state and local taxes, commonly referred to in the tax world as SALT. In that same announcement, the IRS also said it will hold a Nov. 5 public hearing on its proposal regulation and, leading up to that... Read more →


Got enough money that you've diversified by investing in some international accounts? Good for you. If, however, those non-U.S. holdings are, shall we say, designed to be ultra-private, you might want to think about opening them up. Specifically, tell the Internal Revenue Service about that money you've been hiding from Uncle Sam or pay a big price when your tax haven money is discovered. One way to do that is by taking advantage of the IRS' Offshore Voluntary Disclosure Program (OVDP). That opportunity, however, is about to end. Closing OVDP: Back in March, the IRS announced that it was giving... Read more →


If you're looking for a job to boost your holiday spending budget, the Internal Revenue Service might be able to help. I got the postcard shown above in today's mail. No, even though I write about taxes, I'm not special in the IRS' eyes — and that's fine with me. The taxman doesn't have to pay me any extra attention at all, ever! The postcard was addressed to "Resident" so all my neighbors got one. Probably most Austin area folks did, too. Seasonal hiring ritual: There's an IRS facility in the Texas capital and almost every year as the holidays... Read more →


One of the reasons that Congress has in recent years been tight-fisted when it comes to the Internal Revenue Service's budget is because the agency apparently operates pretty darn well with what it already has. That's the case, at least, when it comes to IRS collection activity, according to a Treasury Inspector General for Tax Administration (TIGTA) report released on Monday, Sept. 17. The tax watchdog office's generally positive review comes on the heels of the Government Accountability Office's (GAO) also generally complimentary examination of the federal tax agency. While both reports are welcome by the IRS, they also raise... Read more →


N.Y. Gov. Andrew Cuomo, second from right, and staff announce efforts to investigate what state officials says is the politicization of the new federal tax law limiting the deduction of state and local taxes. (Photo by Kevin Coughlin/Office of Governor Andrew M. Cuomo via Flickr) A lawsuit fighting the new federal cap on deductible state and local taxes (SALT) is working its way through the courts, but some lawmakers aren't waiting for a judicial (or judicious) result. With Tax Reform 2.0 moving forward in the U.S. House, a couple of new insurrections have flared up. On Capitol Hill, a small... Read more →


New Internal Revenue Service Commissioner Charles Rettig during a Senate Finance Committee confirmation hearing this summer. Charles P. "Chuck" Rettig is moving into the Internal Revenue Service commissioner's office, which has been officially vacant since last November. Rettig, a corporate tax attorney with a strong background in tax controversies from his work as a 35-year private practitioner, was confirmed by the U.S. Senate on Sept. 12. He will begin his official duties as the IRS' 49th commissioner on Oct. 1 and will serve the remainder of the five-year term that began Nov. 12, 2017, when former Commissioner John Koskinen completed... Read more →