I.R.S. to Start Tax Season With Major Backlog

At least 10 million returns from last year remain unprocessed because of short-staffing at the tax collector, according to the national taxpayer advocate.

#child-tax-credits-and-stipends, #coronavirus-2019-ncov, #coronavirus-aid-relief-and-economic-security-act-2020, #federal-taxes-us, #internal-revenue-service, #tax-preparers-and-preparation, #taxpayer-advocate-service, #united-states-economy

The I.R.S. Warns of Messy Tax Filing Season

The agency, which has been hobbled by paperwork backlogs and short staffing, said tax filers should expect a lower level of service this year.

#coronavirus-2019-ncov, #federal-taxes-us, #income-tax, #internal-revenue-service, #stimulus-economic, #united-states-politics-and-government

Fact-Checking Kevin McCarthy’s 8-Hour Speech

The House Republican leader made a number of false or misleading claims about the social spending bill, President Biden, immigration policy and Teslas.

#american-families-plan-2021, #banking-and-financial-institutions, #illegal-immigration, #immigration-and-emigration, #internal-revenue-service, #law-and-legislation, #mccarthy-kevin-1965, #pipelines, #rumors-and-misinformation, #tax-evasion, #united-states-politics-and-government

C.B.O. Finds Biden’s Spending Bill Not Fully Paid For

The White House and Congressional Budget Office are at odds over how much revenue the Internal Revenue Service could recoup from tax cheats.

#american-families-plan-2021, #american-jobs-plan-2021, #congressional-budget-office, #democratic-party, #federal-budget-us, #federal-taxes-us, #house-of-representatives, #internal-revenue-service, #tax-evasion, #united-states-politics-and-government

How Revenue for Biden’s Social Policy Bill Depends on the I.R.S.

The head of the Congressional Budget Office said on Monday that beefed-up tax enforcement would raise far less money than the White House projected.

#biden-joseph-r-jr, #congressional-budget-office, #debt-collection, #federal-budget-us, #federal-taxes-us, #internal-revenue-service, #rettig-charles-p, #tax-evasion, #taxation, #treasury-department, #united-states-politics-and-government

Biden Finds Raising Corporate Tax Rates Easier Abroad Than at Home

As the Group of 20 seals a new global minimum tax for companies, the president has scaled back his plans to tax U.S. corporations more.

#biden-joseph-r-jr, #corporate-taxes, #corporations, #donohoe-paschal-1974, #europe, #federal-budget-us, #federal-taxes-us, #foreign-investments, #group-of-twenty, #house-of-representatives, #income, #income-tax, #internal-revenue-service, #national-assn-of-manufacturers, #organization-for-economic-cooperation-and-development, #patriotic-millionaires, #tax-cuts-and-jobs-act-2017, #tax-shelters, #treasury-department, #trump-donald-j, #united-states, #united-states-economy, #united-states-politics-and-government, #wages-and-salaries, #yellen-janet-l

How $2 Trillion in Tax Increases in Biden’s Bill Target Companies and the Rich

The proposal to fund the president’s sprawling spending plan mostly turns up the dial on more conventional tax policies, while trying to curb maneuvers that allow tax avoidance.

#biden-joseph-r-jr, #budgets-and-budgeting, #corporate-taxes, #corporations, #executive-compensation, #federal-budget-us, #federal-taxes-us, #high-net-worth-individuals, #income-tax, #internal-revenue-service, #stock-buybacks, #tax-credits-deductions-and-exemptions, #tax-shelters, #treasury-department, #united-states-politics-and-government

How Biden’s $2 Trillion in Tax Increases Target Companies and the Rich

The proposal to fund the president’s sprawling spending plan mostly turns up the dial on more conventional tax policies, while trying to curb maneuvers that allow tax avoidance.

#biden-joseph-r-jr, #budgets-and-budgeting, #corporate-taxes, #corporations, #executive-compensation, #federal-taxes-us, #high-net-worth-individuals, #income-tax, #internal-revenue-service, #stock-buybacks, #tax-credits-deductions-and-exemptions, #tax-shelters, #treasury-department, #united-states-politics-and-government

Democrats to Scale Back Proposal for Banks to Report Account Balances to IRS

Banks would have to provide data on accounts with annual deposits or withdrawals exceeding $10,000, not including payroll and beneficiary deposits, rather than $600.

#banking-and-financial-institutions, #democratic-party, #federal-taxes-us, #greene-marjorie-taylor-1974, #internal-revenue-service, #republican-party, #senate, #senate-committee-on-finance, #treasury-department, #united-states-politics-and-government, #warren-elizabeth, #wyden-ron, #yellen-janet-l

How Not to Reform the I.R.S.

The I.R.S. needs more resources. But it also needs to protect taxpayer rights.

#federal-taxes-us, #fines-penalties, #house-of-representatives, #internal-revenue-service, #law-and-legislation, #national-taxpayers-union, #senate, #united-states-politics-and-government

Biden’s Proposal to Empower I.R.S. Rattles Banks and Their Customers

To help fund its new initiatives, the Biden administration wants banks to report more customer information. Account holders aren’t happy.

#banking-and-financial-institutions, #biden-joseph-r-jr, #democratic-party, #federal-taxes-us, #house-of-representatives, #internal-revenue-service, #lobbying-and-lobbyists, #senate, #tax-evasion, #treasury-department, #united-states-politics-and-government

What’s Changed in 13 Years of Writing About the Wealthy

For one thing, they’ve gotten wealthier. But there are still things the wealthy do that other investors can do, too.

#content-type-service, #high-net-worth-individuals, #income-inequality, #internal-revenue-service, #personal-finances, #taxation

The I.R.S. Can Register Voters Just as Well as the D.M.V.

You should be able to join the voter rolls when you file your taxes.

#elections, #federal-taxes-us, #income-tax, #internal-revenue-service, #tax-preparers-and-preparation, #voting-rights-registration-and-requirements

How Accounting Giants Craft Favorable Tax Rules From Inside Government

Lawyers from top accounting firms do brief stints in the Treasury Department, with the expectation of big raises when they return.

#accounting-and-accountants, #corporate-taxes, #deloitte-touche-tohmatsu-ltd, #ernstyoung, #ethics-and-official-misconduct, #federal-taxes-us, #internal-revenue-service, #kpmg, #lobbying-and-lobbyists, #pricewaterhousecoopers, #regulation-and-deregulation-of-industry, #rsm, #tax-credits-deductions-and-exemptions, #tax-cuts-and-jobs-act-2017, #tax-shelters, #taxation, #treasury-department, #united-states-politics-and-government

How House Democrats Plan to Raise $2.9 Trillion for a Safety Net

Details of the legislation show higher taxes for companies and the wealthy, but key elements differ from the Senate and White House proposals.

#corporate-taxes, #federal-budget-us, #federal-taxes-us, #house-of-representatives, #internal-revenue-service, #united-states-politics-and-government

Hedge Fund’s Insiders Agree to Pay as Much as $7 Billion to I.R.S.

The agreement ends a longstanding tax dispute involving a decade’s worth of transactions at Renaissance Technologies, one of the world’s biggest and best-connected hedge funds.

#executive-compensation, #federal-taxes-us, #hedge-funds, #internal-revenue-service, #mercer-robert-1946, #renaissance-technologies, #simons-james-harris, #tax-evasion

Zeal banks $13M to offer employers a ‘build your own’ payroll product infrastructure

Embedded fintech company Zeal secured $13 million in Series A funding to continue developing its platform for building individualized payroll products.

Spark Capital led the Series A, with participation from Commerce Ventures and a group of individual investors, including Marqeta CEO Jason Gardner and CRO Omri Dahan, Robinhood founder Vlad Tenev, UltimateSoftware executives Mitch Dauerman and Bob Manne and Namely founder Matt Straz. The latest round now gives the company $14.6 million in total funding, which includes a $1.6 million seed round in 2020, CEO Kirti Shenoy told TechCrunch.

The Bay Area company’s origin was as Puzzl, a payment processing startup for the gig economy, founded in 2018 by Shenoy and CTO Pranab Krishnan. It was part of Y Combinator’s 2019 cohort. The pair had to pivot the company after needing to move some of its thousands of 1099 contractors to W2 employee status.

They went looking for payroll processors that could handle high volumes of payroll automatically, like ADP or Paycor, but found they didn’t match some of the capabilities Shenoy and Krishnan wanted, including to pay workers daily and customize earning components.

To ensure other companies didn’t run into the same problem, they decided to build a payroll API that enables their customers to build their own payroll products, even being able to pay their workers everyday. Traditionally, companies would layer together antiquated third-party payroll tools and spend millions of dollars on consulting fees. Zeal’s API tool modernizes the payroll process and takes on the payroll liability while managing the back-end payment logistics, Shenoy said.

Currently, enterprises use Zeal to pay large volumes of workers and keep payment data on their own native systems, while software platforms that sell business-to-business services use Zeal to build their own payroll product to sell to their customers.

“Our mission is to touch every American paycheck with our tax and payment technology, ensuring that American employees are paid correctly and efficiently,” Krishnan said.

And that is a complex goal: there are 200 million American employees, over $8.8 trillion of payroll is processed annually in the U.S. and the country’s 11,000 tax jurisdictions produce over 25,000 income tax code changes a year.

Meanwhile, Shenoy cited IRS data that showed more than 40% of small and medium businesses pay at least one payroll penalty per year. That was one of the drivers for Zeal’s latest product, the Abacus gross-to-net calculator, which payroll companies can use to ensure they are compliant in paying their income taxes.

The co-founders intend to use the new funding to build out their team and strengthen compliance measures to ensure its track record with enterprises.

“We are starting to win more enterprise deals and moving millions of dollars each day,” Shenoy said. “This has been a legacy space for so long, so companies want to work with a provider to move fast.”

Shenoy predicts that more companies will shift to hyper-customized experiences in the next five to 10 years. Whereas the default was a company like ADP, companies will want to control their own data and build products so their customers can do everything payroll-related from one platform.

As part of the investment, Spark Capital’s partner Natalie Sandman has joined Zeal’s board of directors. She previously invested in other embedded fintech companies like Affirm and Marqeta and thinks there are new experiences in the sector that APIs can unlock.

Sandman felt the payroll-building pain points herself when she worked at Zenefits. At the time, the company was trying to do the same thing, but there were no APIs to connect with. There were all of these spreadsheets to transfer data, but one wrong deduction would trickle down and cause a tax penalty.

Shenoy and Krishnan are both “customer-obsessed,” she said, and are balancing speed with thoughtfulness when it comes to understanding how their customers want to build payroll products.

She is seeing a macro shift to audience-driven human resources where bringing new employees online will mean embedding them into products that will be more valuable versus the traditional spreadsheet.

“To me, it is a no-brainer that APIs provide flexibility in the way wages and deductions need to be made,” Sandman said. “You can lose trust in your employer. Payroll is at the deepest trust point and where you want transparency and a robust solution to solve that need.”

#api, #commerce-ventures, #developer, #enterprise, #funding, #internal-revenue-service, #kirti-shenoy, #natalie-sandman, #payments, #pranab-krishnan, #recent-funding, #saas, #spark-capital, #startups, #tc, #y-combinator, #zeal

Crypto community slams ‘disastrous’ new amendment to Biden’s big infrastructure bill

Biden’s major bipartisan infrastructure plan struck a rare chord of cooperation between Republicans and Democrats, but changes it proposes to cryptocurrency regulation are tripping up the bill.

The administration intends to pay for $28 billion of its planned infrastructure spending by tightening tax compliance within the historically under-regulated arena of digital currency. That’s why cryptocurrency is popping up in a bill that’s mostly about rebuilding bridges and roads.

The legislation’s vocal critics argue that the bill’s effort to do so is slapdash, particularly a bit that would declare anyone “responsible for and regularly providing any service effectuating transfers of digital assets” to be a broker, subject to tax reporting requirements.

While that definition might be more straightforward in a traditional corner of finance, it could force cryptocurrency developers, companies and even anyone mining digital currencies to somehow collect and report information on users, something that by design isn’t even possible in a decentralized financial system.

Now, a new amendment to the critical spending package is threatening to make matters even worse.

Unintended consequences

In a joint letter about the bill’s text, Square, Coinbase, Ribbit Capital and other stakeholders warned of “financial surveillance” and unintended impacts for cryptocurrency miners and developers. The Electronic Frontier Foundation and Fight for the Future, two privacy-minded digital rights organizations, also slammed the bill.

Following the outcry from the cryptocurrency community, a pair of influential senators proposed an amendment to clarify the new reporting rules. Finance Committee Chairman Ron Wyden (D-OR) pushed back against the bill, proposing an amendment with fellow finance committee member Pat Toomey (R-PA) that would modify the bill’s language.

The amendment would establish that the new reporting “does not apply to individuals developing block chain technology and wallets,” removing some of the bill’s ambiguity on the issue.

“By clarifying the definition of broker, our amendment will ensure non-financial intermediaries like miners, network validators, and other service providers—many of whom don’t even have the personal-identifying information needed to file a 1099 with the IRS—are not subject to the reporting requirements specified in the bipartisan infrastructure package,” Toomey said.

Wyoming Senator Cynthia Lummis also threw her support behind the Toomey and Wyden amendment, as did Colorado Governor Jared Polis.

Picking winners and losers

The drama doesn’t stop there. With negotiations around the bill ongoing — the text could be finalized over the weekend — a pair of senators proposed a competing amendment that isn’t winning any fans in the crypto community.

That amendment, from Sen. Rob Portman (R-OH) and Mark Warner (D-VA), would exempt traditional cryptocurrency miners who participate in energy-intensive “proof of work” systems from new financial reporting requirements, while keeping those rules in place for those using a “proof of stake” system. Portman worked with the Treasury Department to author the cryptocurrency portion of the original infrastructure bill.

Rather than requiring an investment in computing hardware (and energy bills) capable of solving increasingly complex math problems, proof of stake systems rely on participants taking a financial stake in a given project, locking away some of the cryptocurrency to generate new coins.

Proof of stake is emerging as an attractive, climate-friendlier alternative that could reduce the need for heavy computing and huge amounts of energy required for proof of work mining. That makes it all the more puzzling that the latest amendment would specifically let proof of work mining off the hook.

Some popular digital currencies like Cardano are already built on proof of stake. Ethereum, the second biggest cryptocurrency, is in the process of migrating from a proof of work system to proof of stake to help scale its system and reduce fees. Bitcoin is the most notable digital currency that relies on proof of work.

The Warner-Portman amendment is being touted as a “compromise” but it’s not really halfway between the Wyden-Toomey amendment and the existing bill — it just introduces new problems that many crypto advocates view as a fresh existential threat to their work. Prominent members of the crypto community including Square founder and Bitcoin booster Jack Dorsey have thrown their support behind the Wyden-Lummis-Toomey amendment while slamming the second proposal as misguided and damaging.

Unfortunately for the crypto community — and the promise of the proof of stake model — the White House is apparently throwing its weight behind the Warner-Portman amendment, though that could change as eleventh hour negotiations continue.

#biden, #bitcoin, #blockchain, #broker, #cardano, #chairman, #coinbase, #cryptocurrencies, #cryptography, #democrats, #digital-currency, #electronic-frontier-foundation, #energy, #ethereum, #finance, #government, #internal-revenue-service, #jack-dorsey, #proof-of-stake, #proof-of-work, #republicans, #ribbit-capital, #ron-wyden, #tc, #white-house

Child Tax Credit Payments Have Begun. Should You Opt Out?

While the payments in advance of tax season are a welcome relief for many families, there may be reasons for others to decline the money, for now.

#child-tax-credits-and-stipends, #content-type-service, #federal-taxes-us, #income-tax, #internal-revenue-service, #personal-finances, #tax-credits-deductions-and-exemptions, #tax-preparers-and-preparation

Here are 3 things you should do with your stock options

There’s a reason startup compensation packages usually include equity, or stock options. For one, it’s a way for startups to remain competitive in the job market and attract top talent. But it’s also a way to reward those employees who join early and give them a tangible reason to stay incentivized to grow the company.

The problem is that while many employees do understand that their equity compensation could mean a big payday in the future — and, in 2021, that’s more likely than ever — they don’t often understand the inevitable complexities of their stock options. That puts employees at risk of not getting the most value after an IPO or, worse, losing them.

If you’ve ever been confused about your equity, or haven’t thought much about it, you’re not alone. That’s why I’m going to share three things all employees joining a startup should do with their equity:

Understand how to value your equity — and when it can change

While many startups are getting better at proactively communicating the value of your equity package upfront, some are still figuring out the best way to do it. That’s because, unlike the more straightforward number of a salary, stock options are more nuanced — they’re a living, breathing type of compensation.

The most important pieces of information to pay attention to are your 409A valuation, your strike price, the type of options you were granted and the preferred share price.

The 409A valuation is based on your company’s valuation. This is also referred to as the fair market value (FMV). The 409A valuation can, and does, often change — they have to be updated at least once a year by a third-party valuator in order to meet tax rules. The 409A also changes during a fundraising event. Investors involved in the funding round determine how they value the company and are given options, at that valuation, in exchange for cash.

The most important pieces of information to pay attention to are your 409A valuation, your strike price, the type of options you were granted and the preferred share price.

Since the company has now been valued higher, the 409A changes for everyone. It’s also possible for the 409A to go down if, for any reason, the company is now valued at a lower amount. This is known as a “down round.” Airbnb had a notable down round during the pandemic, though it eventually recovered and went public.

Your strike price is the price at which you can buy your stock options (also known as exercising). Yes, buy. You are given the option to buy them, which is why they are called stock options. But know that your strike price will likely never change. However, if you’re ever given more stock options (perhaps as a future bonus), this would be a separate grant and the strike price could be different. Companies are legally required to issue stock options at the most recent 409A price (or higher).

#column, #ec-column, #ec-how-to, #internal-revenue-service, #labor, #options, #startups, #stock-options

Why Billionaires Pay So Little Tax

Leaked documents have reignited a long-simmering debate: Why are the ultrawealthy taxed so differently from those who earn far less?

#audio-neutral-informative, #federal-taxes-us, #high-net-worth-individuals, #internal-revenue-service, #musk-elon, #propublica, #soros-george, #taxation, #united-states, #weisman-jonathan

Inside the I.R.S. Files of the Ultra-Wealthy

The journalist Jesse Eisinger breaks down the ProPublica investigation into how little the uber-rich pay in taxes, and what that means for the rest of us.

#audio-neutral-informative, #bloomberg-michael-r, #federal-taxes-us, #high-net-worth-individuals, #icahn-carl-c, #income-tax, #internal-revenue-service, #musk-elon, #propublica

How Private Equity Firms Avoid Taxes

The I.R.S. almost never audits private equity firms, even as whistle-blowers have filed claims alleging illegal tax avoidance.

#apollo-global-management, #bain-capital, #biden-joseph-r-jr, #blackstone-group-the, #capital-gains-tax, #carlyle-group-lp, #federal-taxes-us, #government-accountability-office, #high-net-worth-individuals, #income-inequality, #income-tax, #internal-revenue-service, #kirklandellis, #kkrco-lp, #mnuchin-steven-t, #private-equity, #rettig-charles-p, #schwarzman-stephen-a, #tax-cuts-and-jobs-act-2017, #tax-evasion, #tax-shelters, #tpg-capital, #treasury-department, #trump-donald-j, #united-states-politics-and-government, #whistle-blowers

ProPublica Report Has Congress Rethinking How to Tax Superrich

A report showing that the richest Americans, including Jeff Bezos, Elon Musk and Warren Buffett, pay almost no taxes has refocused attention on the tax code.

#alternative-minimum-tax, #biden-joseph-r-jr, #capital-gains-tax, #corporate-taxes, #democratic-party, #federal-taxes-us, #high-net-worth-individuals, #income-tax, #internal-revenue-service, #pro-publica, #propublica, #republican-party, #senate-committee-on-finance, #stocks-and-bonds, #tax-credits-deductions-and-exemptions, #tax-cuts-and-jobs-act-2017, #tax-shelters, #taxation, #toomey-patrick-j, #united-states-economy, #united-states-politics-and-government, #warren-elizabeth, #wyden-ron

Dealing With Our Segregated, Jim Crow Education System

The George Floyd case may represent a milestone of progress in criminal justice. But can we expand this recognition of unfairness and inequity to other spheres?

#black-people, #discrimination, #education, #floyd-george-d-2020, #george-floyd-protests-2020, #humphreys-county-miss, #internal-revenue-service, #segregation-and-desegregation, #supreme-court-us, #tax-credits-deductions-and-exemptions

US Treasury calls for stricter cryptocurrency rules, IRS reporting for transfers over $10K

President Biden’s vision for an empowered, expanded IRS is poised to have a big impact on cryptocurrency trading.

According to a new report from the U.S. Treasury Department, the administration wants to put new requirements in place that would make it easier for the government to see how money is moving around, including digital currencies. The report notes that cryptocurrencies pose a “significant detection problem” and are used regularly by top earners who wish to evade taxes.

The proposed changes would create new reporting requirements built on the framework of existing 1099-INT forms that taxpayers currently use to report interest earned. Cryptocurrency exchanges and custodians would be required to report more information on the “gross inflows and outflows” of money moving through their accounts. Businesses would also be required to report cryptocurrency transactions above $10,000 under the new reporting requirements.

“Although cryptocurrency is a small share of current business transactions, such comprehensive reporting is necessary to minimize the incentives and opportunity to shift income out of the new information reporting regime,” the report states.

The Treasury Department notes that wealthy tax filers are often able to escape paying fair taxes through complex schemes that the IRS currently doesn’t have the resources to disrupt. According to the report, the IRS collects 99 percent of taxes due on wages, but that number is estimated to be as low as 45 percent on non-labor income, a discrepancy that hugely benefits high earners with “less visible” income sources. The Treasury calls virtual currency, which has some reporting requirements but still operates mostly out of sight in regulatory grey areas, a particular challenge.

“These opportunities are particularly available for those in the top end of the income distribution who can avoid taxes through sophisticated strategies such as offshoring, creating complex partnership structures, or moving taxable assets into the crypto economy,” the Treasury report states.

The report details a multiyear effort to bolster IRS enforcement that would bring in as much as $700 billion in tax revenue over the next 10 years. The proposed changes, if implemented, would go into effect starting in 2023.

#biden, #cryptocurrency, #decentralization, #digital-currency, #financial-technology, #government, #internal-revenue-service, #tax, #tc

Tax Day 2021: Here’s What You Need to Know

The I.R.S. said tax filers who needed more time could have an extra month. The federal tax deadline has arrived.

#coronavirus-aid-relief-and-economic-security-act-2020, #federal-taxes-us, #freelancing-self-employment-and-independent-contracting, #income-tax, #internal-revenue-service, #tax-preparers-and-preparation, #taxation, #unemployment-insurance

Michael Jackson’s Estate Is Winner in Tax Judge’s Ruling

The decision on the value of Mr. Jackson’s name and likeness will significantly lower his estate’s tax burden from the government’s first assessment.

#celebrities, #decisions-and-verdicts, #federal-taxes-us, #internal-revenue-service, #jackson-michael, #pop-and-rock-music, #sony-music, #sony-atv-music-publishing, #wills-and-estates

Here’s How to Claim Your Stimulus Payments: File Your Tax Return

Thursday: In addition to three federal stimulus payments, some Californians also qualify for the Golden State Stimulus.

#american-rescue-plan-2021, #california, #coronavirus-aid-relief-and-economic-security-act-2020, #internal-revenue-service, #stimulus-economic

Justice Dept. Asked to Examine Whether Swiss Bank Kept Helping Tax Dodgers

Credit Suisse had admitted to helping American clients evade taxes in 2014 and was fined $2.6 billion, but it avoided even higher fines because of its vow that it had stopped the practice.

#banking-and-financial-institutions, #credit-suisse-group-ag, #federal-taxes-us, #garland-merrick-b, #internal-revenue-service, #justice-department, #senate-committee-on-finance, #switzerland, #tax-evasion, #united-states-politics-and-government, #wyden-ron

Biden Seeks $80 Billion to Beef Up I.R.S. Audits of High-Earners

The president’s “American Families Plan,” which he will detail this week, will be offset in part by a tax enforcement effort that administration officials believe will raise $700 billion over a decade.

#biden-joseph-r-jr, #corporate-taxes, #federal-budget-us, #federal-taxes-us, #high-net-worth-individuals, #income-tax, #internal-revenue-service, #tax-evasion, #tax-shelters, #united-states-economy, #united-states-politics-and-government

The Tax Filing Deadline Was Delayed to May 17. Here’s What to Know.

The federal government and most states pushed back the date to May 17, but others have gone their own way. And if you make estimated tax payments, the deadline remains April 15.

#american-institute-of-certified-public-accountants, #content-type-service, #coronavirus-2019-ncov, #federal-taxes-us, #freelancing-self-employment-and-independent-contracting, #income-tax, #internal-revenue-service, #national-conference-of-cpa-practitioners, #personal-finances, #tax-preparers-and-preparation

How the Homeless Are Struggling to Get Their Stimulus Checks

Many people living in homeless shelters and on the street have not received the federal stimulus checks they’re entitled to, stymied by misinformation and bureaucracy.

#american-recovery-and-reinvestment-act-2009, #coalition-for-the-homeless, #department-of-social-services, #federal-taxes-us, #homeless-persons, #internal-revenue-service, #manhattan-nyc, #new-york-city, #shutdowns-institutional, #stimulus

An Accidental Disclosure Exposes a $1 Billion Tax Fight With Bristol Myers

The I.R.S. believes the American drugmaker used an abusive offshore scheme to avoid federal taxes.

#accounting-and-accountants, #bristol-myers-squibb-company, #corporate-taxes, #federal-taxes-us, #internal-revenue-service, #legal-profession, #pricewaterhousecoopers, #tax-evasion, #tax-shelters, #whitecase

Stimulus check for less than expected? The I.R.S. says some delays are tied to spousal debts.

Married people who filed their returns jointly may receive their stimulus in two separate installments if their tax return includes something called an injured spouse claim.

#american-rescue-plan-2021, #federal-taxes-us, #internal-revenue-service, #rebates-and-refunds, #stimulus-economic

How to Collect $1.4 Trillion in Unpaid Taxes

Wealthy Americans are concealing large amounts of income from the I.R.S. There is a straightforward corrective.

#federal-taxes-us, #income-inequality, #income-tax, #internal-revenue-service, #tax-evasion

I.R.S. Pushes Tax Deadline Back One Month

Filers will have until May 17, according to lawmakers. The extra time is intended to ease the burden on Americans dealing with the economic upheaval caused by the pandemic.

#american-institute-of-certified-public-accountants, #american-rescue-plan-2021, #federal-taxes-us, #internal-revenue-service, #tax-preparers-and-preparation, #taxation

Treasury Ramps Up Racial Equity Review as It Deploys Relief Funds

The review follows an executive order signed by President Biden requiring federal agencies to pursue racial equity and to support underserved communities in their policies and programming.

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Stimulus payments start to arrive on Wednesday, although some banks gave people access already.

More payments will be made in coming weeks, including for people who will receive theirs by mail as a check or debit card.

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Whistle-Blower Says Credit Suisse Helped Clients Skip Taxes After Promising to Stop

A former bank employee contends that the Swiss bank continued to help American clients avoid taxes long after its 2014 plea deal with the U.S. government

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How Your 2020 Taxes Are Affected by the Coronavirus Pandemic

New rules, many of them temporary, give taxpayers breaks that can cut their tax bills or even generate extra refunds this year.

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A Break for Working Families

The government is allowing people who qualify for the earned-income tax credit to use income from either 2020 or 2019, whichever will result in a bigger credit.

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Don’t Pay Tax Penalties on Money You Took From Retirement Accounts

Here’s a guide to avoiding unnecessary taxes on withdrawals made last year.

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If the check’s not in the mail, you’ll have to get your stimulus money on your taxes.

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The IRS Is Now Accepting 2020 Tax Returns

Millions of people received stimulus payments and unemployment assistance last year — but they are treated differently for tax purposes.

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Is My Stimulus Payment Taxable? And Other Tax Questions

With tax filing season about to begin, here’s what you need to know.

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Democrats to Unveil Up to $3,600 Child Tax Credit as Part of Stimulus Bill

The credit would send monthly payments to millions of Americans under certain income thresholds for a year starting in July.

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I.R.S. Pushes Back Start of 2020 Tax Filing Season

The agency will start accepting returns on Feb. 12, about two weeks later than usual. But you still have to file by April 15.

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‘It Was a Joke’: Some Small Businesses Got $1 Relief Loans

Sole proprietors were eligible for loans under the Paycheck Protection Program only if they were profitable, but many got tiny loans because of the way rules were written.

#coronavirus-2019-ncov, #coronavirus-aid-relief-and-economic-security-act-2020, #federal-aid-us, #internal-revenue-service, #small-business, #small-business-administration, #stimulus-economic

Stimulus Payment Delayed? You May Need to Claim It on Your Tax Return

Payments must be sent by the government by Jan. 15, the I.R.S. said. If yours isn’t sent by then, you’ll have to claim it as a rebate on your 2020 taxes.

#federal-taxes-us, #income-tax, #internal-revenue-service, #stimulus-economic, #tax-preparers-and-preparation