Taxes

When winter gives way to spring in the mountains, my garage pays the price. It’s the rare time of years when both bikes and skis are regularly in service, and that leads to one giant mass of boots and poles and pumps and wheels. WASHINGTON, DC – MARCH 04: President Joe Biden, Vice President Kamala

Newspaper headline “Economic Recovery” getty Robert Goulder and Martin A. Sullivan of Tax Notes discuss the Biden administration’s economic plan and stimulus package for addressing the economic implications of the COVID-19 pandemic.  About the Guests  Robert Goulder is a contributing editor for Tax Notes International. His specialties include international and cross-border tax, the OECD, the European Union, base erosion and profit

On its face, eligibility for claiming the Employee Retention Credit (“ERC”) seems straightforward – I had to shutdown my business due to a government order so I can claim an ERC. We have all learned over the last few weeks that the devil is in the detail. Essential businesses have an additional hurdle to jump through if

Chess, Globe – Man Made Object, Strategy, Earth, Global Business getty [Editor’s Note: This article originally appeared in the February 1, 2021, issue of Tax Notes International.] There are two ways to lose a chess match. Under the preferred approach, the player resigns with dignity upon realizing that defeat is inevitable. Checkmate is lurking a few moves

Cryptocurrency purchases made in fiat currencies are not subject to any type of IRS tax reporting according to the IRS FAQs on cryptocurrency (Q5) updated as of March 2, 2021.  Updated Q5 on IRS FAQs on virtual currency IRS FAQs on virtual currency For example, say Sam purchased 1 bitcoin (BTC) in 2020 for $1,000

On March 2, the IRS updated the Frequently Asked Questions (FAQs) on Virtual Currency Transactions. The new FAQ provides that taxpayers whose only crypto transactions include the purchase of virtual currency with real currency need not answer yes to the question on the front page of the 2020 IRS Form 1040. This instruction is directly

Tax Season Shutterstock Traders use various tax forms as the IRS hasn’t created specialized tax forms for individual trading businesses. Traders enter gains and losses, portfolio income, and business expenses on different forms. It’s often confusing. Which form should forex traders use? Which form is correct for securities traders using the Section 475 MTM method?

Frustrated shocked man having problems, feel confused looking at laptop screen at office getty It’s the beginning of every American’s favorite time of the year … to hate: tax season. Starting on Feb 12th, the IRS started accepting tax returns for the 2020 tax year. Here are three of the most common tax season mistakes

Time is running out to pass Covid-19 relief legislation to extend unemployment benefits and provide … [+] other needed aid. getty Even as they digest the bad news that a simple minimum wage increase can’t be included in President Biden’s $1.9 trillion relief package, Congressional Democrats are moving rapidly to pass the overall legislation.  They are doing the

paper bag with groceries handed to needy elderly person in vehicle getty In this episode of Tax Notes Talk, Rebecca Thompson of Prosperity Now, a nonprofit based in Washington, D.C., discusses how the COVID-19 pandemic has affected low-income communities and families of color in the United States, and what tax policy tools could help them. The post

A question has arisen amongst advisors on how to appropriately count employees when determining whether an employer is considered a large or small employer for the Employee Retention Credit (ERC). The ability for businesses to be considered a small employer for the ERC calculation can significantly increase the amount of the ERC credit, and drive much

Ask Larry Economic Security Planning, Inc. Today’s column addresses questions about whether divorced spousal benefits could reduce other benefits including childhood disability benefits (CDBs), how long a reconsideration request might be expected to take and whether survivor benefits might be affected by the WEP or GPO. Larry Kotlikoff is a Professor of Economics at Boston

In a recent bankruptcy case, the court considered whether the recapture (repayment) obligation of the first-time homebuyer credit is a “tax” as applied to the non-discharge provisions of the bankruptcy code. The Housing and Economic Recovery Act of 2008 provided a tax credit for first-time homebuyers. The credit, which was for certain purchases between 2008

Google closeup logo displayed on a phone screen.(Photo by Nicolas Economou/NurPhoto via Getty … [+] Images) NurPhoto via Getty Images The most interesting tax news these days may not be the tax cuts in the massive pandemic relief bill now awaiting House passage. Rather, it may be the growing efforts of states to tax internet

Protective face mask and tax income documents for 2020. Concept for personal finances during … [+] Coronavirus pandemic getty Divorced and never married co-parents have the chance to pick up an extra $1,100 per dependent child when they file their 2020 returns. It requires trust, cooperation and running multiple versions of their 2020 returns. It is probably

UNITED STATES – FEBRUARY 25: Activists call on Congress to pass the $15 federal minimum wage hike. … [+] But Republican opposition and Senate rulings make it unlikely in Biden’s relief package. (Photo By Bill Clark/CQ-Roll Call, Inc via Getty Images) CQ-Roll Call, Inc via Getty Images Bad news this week for low income workers.  This

Calculating taxes in filing season 2021 may come with some surprises. getty Taxpayers who received unemployment benefits in 2020 are facing an unexpected reckoning in the 2021 filing season. Many are just now becoming aware that income from unemployment is taxable and that while states typically withhold for federal income taxes, most do not withhold

Miniature model house standing on a heap of dollar bills. Photo with clipping path.Some similar … [+] pictures from my portfolio: getty The long-absent definition of real property for like-kind exchanges is finally available in regulations (T.D. 9935), with several other helpful amendments to the regime for taxpayers. Questions remain, particularly regarding intangible property, but

The Internal Revenue Service (IRS) headquarters in Washington, D.C., U.S., on Saturday, Jan. 2, … [+] 2021. Photographer: Samuel Corum/Bloomberg © 2021 Bloomberg Finance LP Millions of Americans who lost their jobs due to the covid pandemic in 2020 are in for an unpleasant surprise as they head into tax season. Congress offered jobless workers

Getty getty Required minimum distributions (RMDs) from IRAs and other qualified retirement plans are more complicated than they need to be. There are a number of little-known rules that can be helpful to taxpayers or trap them into paying higher taxes or penalties. Most people believe IRA stands for “individual retirement account.” But the tax