Federal

  • January 17, 2023

    GAO Urges IRS To Put Referral Info In 'Dirty Dozen' Postings

    The Internal Revenue Service should add information on referring promoters of potentially abusive tax schemes back into its news releases for the "Dirty Dozen" list of tax schemes, the U.S. Government Accountability Office said Tuesday.

  • January 17, 2023

    Diabetic Engineer Must Pay Distribution Taxes, Tax Court Says

    A California software engineer who argued that being diabetic was a disability that allowed him to skirt taxes for taking an early retirement-account distribution must report the distribution as income and pay the additional 10% tax, the U.S. Tax Court decided Tuesday.

  • January 17, 2023

    Pension Plan Segment Rates Rise In Jan.

    Segment rates for calculating pension plan funding rose in January, the Internal Revenue Service said Tuesday.

  • January 17, 2023

    Citgo Parent's $642M Tax Refund Bid Gets Dismissed

    A Texas federal judge dismissed a bid Tuesday from Citgo's parent company for $641.6 million in tax refunds after the company agreed to drop the case because of a Fifth Circuit decision siding with the U.S. in a similar dispute.

  • January 17, 2023

    Tax Changes Would Up US Competitiveness, Tech Group Says

    A new investment tax credit for manufacturers and the rollback of new amortization rules for research and development costs were among measures recommended to the U.S. government Tuesday by a technology trade association, which said the changes would make the U.S. more competitive.

  • January 17, 2023

    IRS Funding Boost Spending Plan On Track, TIGTA Says

    The Internal Revenue Service is on track to deliver the spending plan for the Inflation Reduction Act's nearly $80 billion funding boost to the Treasury Department by the Feb. 17 deadline, according to a Treasury Inspector General for Tax Administration report released Monday.

  • January 17, 2023

    Multiple Applicable Federal Rates To Drop In February

    Multiple applicable federal rates for income tax purposes will decline in February, the Internal Revenue Service said Tuesday.

  • January 17, 2023

    Ex-SF Building Official Cops To Ducking Taxes On $1.6M

    An engineering firm owner and ex-president of the San Francisco Building Inspection Commission pled guilty to skipping taxes on $1.6 million in unreported, stolen income, one of several schemes he copped to, including bank fraud and paying off a public official, prosecutors announced.

  • January 17, 2023

    Tax Group Of The Year: Skadden

    Skadden Arps Slate Meagher & Flom LLP's tax team last year helped broker the largest merger deal ever in the video gaming industry, between independent studio Activision Blizzard and tech giant Microsoft, earning the firm a spot among Law360's 2022 Tax Groups of the Year.

  • January 17, 2023

    Justices Won't Hear Mo. Challenge To ARPA Tax Cut Limit

    The U.S. Supreme Court declined Tuesday to hear Missouri's challenge to a federal law that prohibits states from using certain coronavirus aid to offset tax cuts, keeping in place a circuit split over whether states have standing to challenge the law.

  • January 13, 2023

    Law360 Names Practice Groups Of The Year

    Law360 would like to congratulate the winners of its Practice Groups of the Year awards for 2022, which honor the attorney teams behind litigation wins and major deals that resonated throughout the legal industry this past year.

  • January 13, 2023

    New Catch-Up Law Forces Decision For Plans Lacking Roth

    Nonprofits, schools and governments that offer their workers certain retirement plans that lack Roth contribution options will face a decision about whether to add them to allow affluent employees to make catch-up contributions starting in 2024 to meet requirements under a new law.

  • January 13, 2023

    Tax Court Orders Cayman Partnership To Justify Late Args

    A Cayman Islands-based partnership battling tax bills from the Internal Revenue Service has to defend the untimeliness of post-trial arguments it made claiming it shouldn't owe withholding taxes on certain income attributable to foreign partners, the U.S. Tax Court said. 

  • January 13, 2023

    Crypto Donation Deduction Requires Appraisal, IRS Says

    A taxpayer can't take a charitable giving deduction of over $5,000 for the donation of cryptocurrency to a charity without a qualified appraisal, the Internal Revenue Service's Office of Chief Counsel said in memorandum released Friday.

  • January 13, 2023

    Effective Corp. Tax Rates Dropped After TCJA, GAO Says

    Big profitable corporations' effective tax rates dropped and more of those companies owed no federal income tax following the Tax Cuts and Jobs Act's passage, but tax changes to foreign-sourced income expanded the tax base, the U.S. Government Accountability Office reported Friday.

  • January 13, 2023

    Crypto Value Drop Isn't A Loss, IRS Says

    A taxpayer who bought cryptocurrency in 2022 and saw its value plummet to less than a cent, but retained ownership over it at the end of the year, can't take a loss on the steep decline in value, the Internal Revenue Service's Office of Chief Counsel said in memorandum released Friday.

  • January 13, 2023

    Weekly Internal Revenue Bulletin

    The Internal Revenue Service released its weekly bulletin, which included a notice declaring a 3-cent increase in the standard mileage rate for business use to 65.5 cents per mile in the new year.

  • January 13, 2023

    Ga. Business Owner Hit With $2.7M Unpaid Taxes Suit By Feds

    A prominent Georgia business owner, a bankruptcy law firm and a county tax commissioner were slapped with a complaint by the federal government seeking to recover nearly $3 million in unpaid taxes, saying the businessman has continually ignored demands for payment.

  • January 13, 2023

    Taxation With Representation: Skadden, Kirkland, CMS

    In this week's Taxation With Representation, Duck Creek Technologies agreed to be purchased by Vista Equity Partners, Nuvei agreed to buy Paya, BioNTech is to buy the remaining shares of InstaDeep, and Wejo Group Ltd. agreed to merge with TKB Critical Technologies 1.

  • January 13, 2023

    Trump Org. Fined $1.6M After Criminal Tax Fraud Conviction

    A New York state judge on Friday ordered two Trump Organization companies to pay a total of $1.6 million in fines after a jury found they ran a 15-year tax fraud conspiracy to benefit senior executives, saying the former president's corporation has continued to deflect blame.

  • January 12, 2023

    Justices Told To Rebuff Judge's Advice In MoneyGram Suit

    Delaware told the U.S. Supreme Court that it should decline to adopt a special master's recommendation for what would essentially be a split decision in a case that will determine who can claim about $300 million in abandoned MoneyGram checks.

  • January 12, 2023

    Valero Agrees To Drop $408M Fuel Credit Tax Refund Bid

    Valero Energy agreed to drop its bid for a nearly $408 million tax refund involving fuel mixture excise tax credits following a Fifth Circuit decision that sided with the government in a similar case, according to a filing in Texas federal court.

  • January 12, 2023

    NY Accountant's Deficiency Notices Are Valid, Tax Court Says

    A notice of deficiency against a New York accountant for the tax years 2007 through 2013 was valid, and the accountant owes penalties for tardy filings for each year, the U.S. Tax court said Thursday.

  • January 12, 2023

    Raytheon Engineer Can't Deduct Housing, Tax Court Says

    An engineer for defense contractor Raytheon cannot exclude from his reported income the value of his employee housing because it was not located on the military base in Australia where he worked, the U.S. Tax Court ruled Thursday.

  • January 12, 2023

    3rd Circ. Presses US On Mylan's $50M Tax Bill For Court Costs

    A Third Circuit panel questioned the government's position that generic-drug maker Mylan owes $50 million in taxes, asking during oral arguments Thursday why the IRS had suddenly changed its mind in claiming the company shouldn't be allowed to deduct its litigation costs.

Expert Analysis

  • Navigating The IRS Pre-Audit Retirement Plan Pilot Program

    Author Photo

    The Internal Revenue Service launched a Pre-Examination Compliance Pilot program for retirement plans last month that gives sponsors and administrators 90 days to self-correct errors and avoid audits, and while several details are unclear, there are important steps to take at this time, say attorneys at Ice Miller.

  • Key Takeaways From IRS Reversal On FDII Stance

    Author Photo

    The Internal Revenue Service's recent memo regarding allocation of deferred compensation expenses for purposes of foreign-derived intangible income is a departure from the agency's previous position and may have implications beyond the context of deferred compensation, say attorneys at Miller & Chevalier.

  • How To Address Research Expenditures Amid Uncertainty

    Taxpayers need to prepare for the significant technical and compliance challenges of following Internal Revenue Code Section 174's new rules for experimentation expenditure capitalization and amortization, notwithstanding the rules' unresolved legislative future, say tax advisers at Grant Thornton.

  • LeClairRyan Bankruptcy Highlights Pass-Through Tax Issue

    Author Photo

    A Virginia bankruptcy court's recent ruling in the case of defunct law firm LeClairRyan shows there may be serious tax consequences for pass-through entity partners who give up their ownership interest without following operating agreement exit provisions and updating bankruptcy court filings, say Edward Schnitzer and Hannah Travaglini at Montgomery McCracken.

  • Tax, Social Services And The Need For An IRS Overhaul

    Author Photo

    Revamping the Internal Revenue Service should start with visibly improving taxpayer experiences to help pave the way for other fundamental changes needed to address the recent drop in audit numbers, personnel losses, burdens of its increasing expansion into social services and other problems, says Rice University fellow Joyce Beebe.

  • Key Legal And Regulatory Trends In Oil And Gas Transactions

    Excerpt from Practical Guidance
    Author Photo

    Attorneys involved in oil and gas transactions must be aware of important legal and regulatory trends that have emerged recently, including issues surrounding hydraulic fracturing, climate change, pipeline tariffs and a resurgence of regulation under the Biden administration, say Justin Hoffman and Thomas Blackwell at Baker Botts.

  • Employer Considerations For Leave Donation Programs

    Author Photo

    As the battle for talent continues and workers return to the office, companies may consider allowing employees to donate accrued leave time to a shared bank, but employers should first review these programs' complex design issues to comply with state laws and avoid tax consequences, says Rebecca Hudson at Holland & Hart.

  • Crypto Cos. Should Prep For More IRS John Doe Summonses

    Author Photo

    In anticipation of new reporting requirements that will go into effect in 2024, cryptocurrency exchanges and custodians should inform themselves on the John Doe summons, a unique mechanism that allows the IRS to obtain expansive information about cryptocurrency transactions, say Shivani Poddar and Andrew Heighington at Herrick Feinstein.

  • Employer Travel Benefits Options For Abortion Care Post-Roe

    Author Photo

    Given the likelihood that Roe v. Wade will be overturned, and with the proliferation of state legislation restricting abortion access, employers may want to consider the legal implications of several options to expand travel reimbursement benefits for employees who seek abortion services, say Danita Merlau and Ben Conley at Seyfarth.

  • Global Tax Chiefs Should Look To US Whistleblower Programs

    Author Photo

    As the Joint Chiefs of Global Tax Enforcement develops its international whistleblower program to address tax evasion and money laundering schemes in new areas like cryptocurrency, it should take lessons from highly successful U.S. programs on which features to include and pitfalls to avoid, say Neil Getnick and Nico Gurian at Getnick & Getnick.

  • Crypto Investors May Face Increasing State FCA Tax Liability

    Author Photo

    Cryptocurrency investors who fail to report the state tax consequences of transactions are poised to encounter increased civil or criminal legal exposure as a growing number of states bring tax fraud under the purview of their whistleblower statutes, say attorneys at Brownstein Hyatt.

  • Justices' Boechler Ruling May Spell Tax Exceptionalism's End

    Author Photo

    By basing its decision on cases outside the tax arena, the U.S. Supreme Court treated Boechler v. Commissioner as an administrative law case rather than a tax case and stripped away the traditional lines of tax exceptionalism, says James Creech at Baker Tilly.

  • MORE Act's Possible Impact On State-Licensed Cannabis Cos.

    Author Photo

    The Marijuana Opportunity Reinvestment and Expungement Act, recently passed in the U.S. House of Representatives, would dramatically alter the federal legal landscape for state-licensed cannabis businesses in both positive and negative ways — from opening new marketing avenues to compounding tax burdens, say attorneys at the Law Offices of Omar Figueroa​​​​​​​.

Can't find the article you're looking for? Click here to search the Tax Authority Federal archive.