The Internal Revenue Service (IRS) recently announced it will send out 10,000 letters to those who own cryptocurrency. The agency’s communications are geared to help better ensure tax compliance. The problem: tax compliance regarding digital assets is unclear, at best.
Will “record-setting” number of tax extensions impact tax pros?
Tax preparation and accounting offices throughout the country reported record-setting extension requests for tax filings this year. The increase was the result of many different factors, including:
IRS reminds tax professionals to report foreign accounts
The American Bar Association's taxation section recently held their annual meeting. This group of legal professionals from throughout the country met with representatives from the Internal Revenue Service (IRS) to discuss the agency’s focus in coming months. One of the main take away lessons from the meeting: representatives encouraged tax professionals to bring all foreign accounts into compliance with applicable tax law.
Citizens and resident aliens must file taxes by June 17
United States citizens and resident aliens living abroad may still need to file taxes for the 2018 tax year. Tax obligations are broad and the reach of the Internal Revenue Service (IRS) is long — often extending past the country’s borders.
Uber faces IRS scrutiny: Could this impact drivers?
The recently public Uber Technologies Inc. is currently under investigation by the Internal Revenue Service (IRS). Bloomberg reports the agency is reviewing two years of the ride sharing company’s tax filings. The company has stated the agency is simply conducting an “examination” in light of its recent initial public offering. Skeptics have voiced concern the investigation is really a deeper look into the company’s tax strategies. For example, its use of “transfer pricing positions.”
College students and taxes: Avoid this common mistake
College students are making the most of the gig economy. The ability to sell stuff on Etsy or E-bay or make some extra cash using their vehicle with Uber or Lyft. Although these side gigs can result in some serious side income, they also can make tax obligations more difficult to navigate. Here are three reasons why: classification, withholding and different tax forms.
Self-employed? First quarterly tax payment due April 15, 2019.
Tax Day signifies a payment due date for more than just individual’s income tax returns. The Internal Revenue Service (IRS) also expects payment of the first quarterly tax payment for 2019 on April 15.
IRS changes rules for tax penalties
The Internal Revenue Service (IRS) recently expanded the penalty relief for taxpayers who owe taxes for the 2018 tax year. In the past, the agency would charge a penalty on taxpayers who failed to pay at least 90 percent of their tax obligation during the tax year. Employers generally take these tax payments as withholdings from the taxpayers’ paychecks paid directly to the IRS.
Tax surprises: Options for an unmanageable bill
Recent data shows that only 16 percent of United States taxpayers adjusted their withholdings after the new tax law passed. Without a change to one's withholding status, taxpayers could find themselves facing an unexpected tax bill this tax season.
IRS reminder: Overdue tax bill can lead to passport issues
The Internal Revenue Service (IRS) has a number of tools it can use to demand tax payment from taxpayers. Those who fail to make their payments can face additional fees and have the government take the money directly from their paycheck through levies. Another tool available to the IRS: they can limit your ability to travel.
