Webinar on October 29, 2014, 2:00 p.m. (ET); 1:00 p.m. (CT); 12:00 p.m. (MT); 11:00 a.m. (PT)
Tax Practice Ethics - Circular 230 from A to Z, including amendments effective June 12, 2014
To register for the event, visit the Internal Revenue Service Webinar Registration website.
Tax professionals can earn continuing professional education credits online through seminars filmed at the 2014 IRS Nationwide Tax Forums. The 14 self-study seminars are now available on the IRS Nationwide Tax Forums Online (NTFO). Self-study seminars provide information to students using interactive videos, PowerPoint slides and transcripts.
Notice 2014-57 announces the special per diem rates effective October 1, 2014, which taxpayers may use to substantiate the amount of expenses for lodging, meals, and incidental expenses when traveling away from home. The rates are the special transportation industry rate, the rate for the incidental expenses only deduction, and the rates and list of high-cost localities for purposes of the high-low substantiation method. Notice 2014-57 will be published in Internal Revenue Bulletin 2014-41 on Oct. 6, 2014.
For those who love numbers: See this page for data reported on individual income tax returns for every county in the U.S. The data include:
- Number of returns, which approximates the number of households
- Number of personal exemptions, which approximates the population
- Adjusted gross income
- Wages and salaries
- Dividends before exclusion
- Interest received
Notice 2014-52 describes regulations that the IRS and Treasury Department intend to issue with respect to inversion transactions.
Farmers and ranchers who previously were forced to sell livestock due to drought have an extended period of time in which to replace the livestock and defer tax on any gains from the forced sales. See Notice 2014-60 which will be published in Internal Revenue Bulletin 2014-43, dated Oct. 20, 2014.
The Internal Revenue Service today made it easier for taxpayers who hold interests in either of two popular Canadian retirement plans to get favorable U.S. tax treatment and took additional steps to simplify procedures for U.S. taxpayers with these plans. Further details can be found in Revenue Procedure 2014-55.
Victims, survivors and some dependents of those killed during the Sept. 11, 2001 attack on the World Trade Center, the Pentagon and United Airlines Flight 93; the Oklahoma City bombing in 1995; and the 2001 anthrax terrorist attacks may be eligible to claim certain types of tax relief. To benefit, taxpayers must file claims for these benefits using the guidelines and time frames set by law.
►AFFORDABLE CARE ACT
New! ACA Information Center for Tax Professionals
- Information for your Individual Clients
- Information for Your Business Client
- Information for Your Payroll Clients
- General Resources
ACA News for Individuals
See the latest Health Care Tax Tips here.
ACA News for Businesses
New and existing small employers who do not yet benefit from the Small Business Health Care Tax Credit should look into whether the credit can help them provide insurance to their employees. For tax years beginning in 2014 and after, the maximum credit is 50 percent of premiums paid for small business employers, and 35 percent of premiums paid for tax-exempt small employers, such as charities.
Notice 2014-49. This notice describes a proposed approach to the application of the look-back measurement method, which may be used to determine if an employee is a full-time employee for purposes of § 4980H of the IRC. The Treasury Department and the IRS invite comments on this proposed approach (by December 29, 2014, see page 12 of Notice 2014-49). However, taxpayers may rely on the approach proposed in this notice until further guidance is issued, and in any case through the end of the 2016 calendar year. See also questions 15 - 17 here: Questions and Answers on Employer Shared Responsibility Provisions under the Affordable Care Act
►Practitioners who work with small business owners:
Starting November 15, for the first time small business owners will be able to enroll their Small Business through the SHOP Marketplace entirely online! The Small Business Health Options Program (SHOP) offers a simpler way to find and buy health coverage for small business that meets the needs of your employees. You can complete an application, choose coverage, and enroll yourself or you can work with an agent or broker.
►YOUR PRACTICE
The IRS recently strengthened the security of the e-Service registration process. More details are available here: Changes to e-services Registration were implemented on Sunday, September 28, 2014.
Beginning in October the Internal Revenue Service will send due diligence warning letters to tax preparers who appear not to be complying with EITC due diligence requirements. Assistance understanding these requirements is available on the EITC Tax Professional's page.
IRC § 7216 Questions and Answers Related to the Affordable Care Act
Internal Revenue Code § 7216 is a criminal provision enacted by the U.S. Congress in 1971 that, except as provided in regulations, prohibits tax return preparers from knowingly or recklessly disclosing tax return information or using tax return information for a purpose other than preparing, or assisting in preparing, an income tax return. This provision applies to tax return preparers who also offer services and education related to the Affordable Care Act. Violators are subject to a $1,000 fine or a year in prison, or both.
►EMPLOYERS
Notice 2014-55. Additional Permitted Election Changes for Health Coverage under § 125 Cafeteria Plans. This notice addresses two specific situations in which a cafeteria plan participant may wish to revoke the employee's election for employer-sponsored health coverage under the cafeteria plan.
►RETIREMENT PLANS
Tax credit for starting a retirement plan - what is it, who can take it and how much is it? You may be able to claim a tax credit for some of the ordinary and necessary costs of starting a SEP, SIMPLE IRA or qualified plan. A tax credit reduces the amount of taxes you may owe on a dollar-for-dollar basis.
Notice 2014-54 provides guidance on the allocation of pre-tax and after tax amounts when a distribution from a qualified retirement plan is sent to multiple destinations.
►TAX CENTER OF THE MONTH:Automotive Tax Center
- Avoiding Problems - Automotive
This section contains important information on recordkeeping, misclassification of employees and warns you of fraudulent automotive schemes.
- Tax Tips - Automotive
This section provides general information on subjects such as installment sales and how to value inventory.
►TAX-EXEMPT ORGANIZATIONS
October 23, 2014, 1:00 pm CST: Helping 501(c)(3) organizations with charitable contributions (a primer). Get more details and register for this phone forum here.
If you weren't able to attend recent phone forums for Tax Exempt Organizations, you can listen to recorded versions. See the list here (scroll down to see prior phone forums).
Upcoming Workshops for Charities: IRS Exempt Organizations offers one-day workshops for small and medium-sized 501(c)(3) organizations around the country in collaboration with colleges and universities as part of our Academic Institutions Initiatives in an effort to help develop the nonprofit leaders of tomorrow.
Find all of the most current information for tax-exempt organizations.
►NEWS FROM OTHER AGENCIES
The Census Bureau has been rolling out some interesting data visualization tools lately and one of the more recent releases involves Story Maps (this link may or may not work) that look at population change around the country. The first story map focuses on Metro and Micro area Population Change from 2002-2003 and compares it to 2012-2013 population change data. The second story map focuses on County Population Growth from 2012-2013 along with the primary sources of population change (natural increase vs. net migration).
