Main Menu Back to Page
{ Banner Image }

Showing 23 posts in News & Events.

IRS Reboots Previously Unsuccessful Private Debt Collection Efforts

This week, the IRS announced that it has selected four private debt collection contractors to begin collecting certain overdue federal tax debts, as required by Congress. The contractors include:

  • CBE Group
    1309 Technology Pkwy
    Cedar Falls, IA 50613
  • Conserve
    200 CrossKeys Office park
    Fairport, NY 14450
  • Performant
    333 N Canyons Pkwy
    Livermore, CA 94551
  • Pioneer
    325 Daniel Zenker Dr
    Horseheads, NY 14845

The contractors' efforts will begin in the spring of 2017, and will be focused only on debts that the IRS had stopped trying to collect.  We note three important takeaways in the wake of this news. Read More ›

Categories: News & Events, Tax

Michigan Department of Treasury Sheds Light on Nexus Standards Related to Michigan Business Taxes

Some businesses are (unpleasantly) surprised when they learn they are responsible for taxes -such as sales and income taxes - in states in which they have no physical presence. What gives rise to liability in these situations is “economic nexus,” which relates to a business’ activity, such as the generation of sales without a physical presence, in a state. Nexus, therefore, can be a hidden trap for businesses with multistate sales and other activities, particularly because what gives rise to nexus is often uncertain and unexplained by a state’s taxing authority.

Michigan Department of Treasury (the “Treasury”) has shed light on what constitutes nexus in Michigan through the issuance of a release that explains the nexus standards for Michigan business taxes. The release (the “Release”) addresses the sales and use tax presumption for out-of-state sellers; the nexus standards for the corporate income tax; and the nexus standards for flow-through entity withholding. Read More ›

Categories: Corporate Income Tax, News & Events, Sales Tax, Use Tax

Reevaluating Valuation: IRS and Treasury Propose Rules Restricting Valuation Discounts

On August 2, 2016, the IRS and U.S. Department of Treasury issued highly anticipated proposed regulations concerning the valuation of interests in certain family-controlled businesses for estate, gift and generation skipping transfer tax purposes. The proposed rules would curb the use of most discounts that are applied when valuing intra-family transfers.  Read More ›

Categories: Compliance, News & Events, Tax

Time to Review Your Deferred Compensation Agreements – IRS Issues Proposed Regulations on Section 409A

The IRS recently released proposed regulations regarding the application of Internal Revenue Code Section 409A to nonqualified deferred compensation plans (“NDCP”). The proposed regulations modify and clarify previous guidance. The proposed rules will not be applicable until issued as final, but the IRS explained that taxpayers may now rely on the proposed rules and the IRS will not assert positions that are contrary to the position set forth in them. This summary highlights many of the important issues raised in the proposed rules. Read More ›

Categories: Compliance, News & Events

Lower Application Fee for 1023-EZ Charity Filers

Lower Application Fee for 1023-EZ Charity FilersIn 2014, the IRS introduced a new streamlined tax-exempt application that gave certain charitable organizations the opportunity to bypass the longer Form 1023 tax exempt application.  Some organizations now can apply for tax-exempt status through the Form 1023-EZ. Benefits of Form 1023-EZ include its shorter length and fewer questions regarding the details of a charity's specific operations. However, there are some restrictions as to whether a charitable organization qualifies to submit a Form 1023-EZ.  The IRS has provided an Eligibility Worksheet (pages 11-20 of the Form 1023-EZ instructions) that taxpayers can complete in order to determine if a charity is eligible to use Form 1023-EZ. Read More ›

Categories: News & Events, Tax-Exempt Organizations

Do I have to Pay a Fee for Filing My Taxes Late?

Taxes DueWhat penalties accrue if you don't make the deadline to file your taxes? If you are due a refund, there is no penalty if you file a late tax return; however, if you owe tax you will most likely owe interest and penalties on the tax you pay late. The IRS breaks down two penalties that may apply in this short article titled "Things You Should Know about Filing Late and Paying Penalties."

If you have questions about your taxes please contact one of Foster Swift's knowledgeable tax attorneys.

Categories: Compliance, News & Events, Tax

Payroll & HR Professionals Beware: IRS alerts of Phishing Scheme

A new phishing email scheme that purports to be from company executives and requests personal information on employees was identified by the IRS. This email scheme, known as "spoofing," will contain for example the actual name of the CEO. The "CEO" sends an email to payroll or HR and requests a list of employees and information including social security numbers. For more information on this scheme, click here.

Foster Swift has also covered schemes regarding fake charities and discussed how to protect yourself from identity theft.

Categories: News & Events

Fake Charities Are on the IRS “Dirty Dozen List of Tax Scams” for 2016

Charity DonationsEach year the IRS alerts taxpayers about potential tax scams, and publishes its list of the “Dirty Dozen” problem areas. In its 2016 list, the IRS warns taxpayers about fake charities, identified as “groups masquerading as charitable organizations to attract donations from unsuspecting contributors.”

According to IRS Commissioner John Koskinen, “Fake charities set up by scam artists to steal your money or personal information are a recurring problem. Taxpayers should take the time to research organizations before giving their hard-earned money.” Read More ›

Categories: News & Events, Tax-Exempt Organizations

IRS Releases Tips to Help Protect Financial Accounts

Do you believe you are a victim of identity theft? The IRS recently released tips for using credit bureaus to help protect your financial accounts. If you believe you are a victim of identity theft, the IRS suggests that you contact one of the three major credit bureaus to place a "fraud alert" on your credit account.

The three main credit bureaus are:

For more information on the types of fraud alerts that are available and how to place an alert, click here.

Categories: News & Events

IRS Announces Seven Steps to Make Identity Protection Part of Your Routine

Identity theft can be frustrating and time-consuming. It is always important to be on guard, especially online.

The IRS put together seven steps that you can make part of your routine to protect your tax and financial information: Read More ›

Categories: News & Events