IRS Temporarily Halting Passport Revocations for Some Taxpayers

NSTPInternal Revenue Service (IRS), Overdue Tax Bill

IRS to Temporarily Halt Passport Revocations for Some Taxpayers

IRS Temporarily Halting Passport Revocations for Some Taxpayers Memorandum for Taxpayer Advocate Service Employees NTA Blog In a memorandum to Tax Advocate Service (TAS) employees, the TAS has stated that the IRS will temporarily decertify taxpayers with open TAS cases. Decertification means that taxpayers with seriously delinquent tax debts will, temporarily, not be at risk of having their passports revoked by the State Department merely because of those seriously delinquent tax debts. Background. Code Sec. 7345 authorizes (but does not require) the IRS to certify a taxpayer's seriously delinquent tax debt to the State Department for the purposes of passport denial, limitation, or revocation. A seriously delinquent tax debt is an assessed individual tax liability exceeding $50,000 (adjusted for inflation) for which either a notice of federal tax lien has been filed or a levy has been made. IRS must also send a decertification to the Department of State where the certification was in error or where there is no longer a seriously delinquent tax debt. (Code Sec. 7345(b)) The Internal Revenue Manual provides details as to how the IRS certifies and decertifies a taxpayer. (IRM 13.1.24) A decertification protects the taxpayer's passport from being denied, limited, or revoked. The … Read More

2020 Form W-4 Second Draft Posted by IRS

NSTPInternal Revenue Service (IRS)

2020 Form W-4 Draft Posted by IRS

2020 Form W-4 Draft Posted by IRS; Says no Future Substantive Changes Draft 2020 Form W-4, Employee's Withholding Certificate The IRS has posted a second draft of 2020 Form W-4, Employee's Withholding Certificate. They have also announced that the new form does not change the computation of withholding contained in the first draft and that there will be no substantive changes when the final version of the form is published. IRS has also provided information regarding Publication 15-T (Federal Income Tax Withholding Methods). The previous version of Form W-4 calculated a taxpayer's income tax withholding using a withholding allowance based on the personal exemption amount. In 2017, the Tax Cuts and Jobs Act suspended personal exemptions and substantially increased the standard deduction. The mismatch between the old Form W-4 and the new tax law has caused some taxpayers to be over- or under-withheld. Changes contained in the second draft. The second draft changes the title of the form by removing the word "allowance". The concept of withholding allowances, which was previously tied to the amount of the personal exemption, is no longer being used. Some other small adjustments include changing the name of Step 2 from "Account for Multiple Jobs" … Read More

The New IRS Tax Withholding Estimator: Here’s What Taxpayers Should Know

NSTPInternal Revenue Service (IRS)

The New IRS Tax Withholding Estimator: What Taxpayers Should Know

The New IRS Tax Withholding Estimator: Here’s What Taxpayers Should Know Taxpayers who haven’t yet checked their withholding this year should do so ASAP. All taxpayers can do this by using the new mobile-friendly Tax Withholding Estimator. This new tool can be used by workers, as well as retirees, self-employed individuals and other taxpayers. It’s a user-friendly step-by-step tool to help taxpayers effectively adjust the amount of income tax they have withheld from wages and pension payments. This helps them make sure that they are paying the right amount of tax as they earn it throughout the year. Here are some things people should know about the new tool: Using the tool to do a Paycheck Checkupcan help taxpayers avoid an unexpected year-end tax bill and possibly a penalty when they file their 2019 tax return next year. The new tool allows taxpayers to separately enter pensions and other sources of income. Taxpayers who receive pension income can use the results from the estimator to complete a Form W-4P. They then give this form to their payer. It’s important for anyone who had an unexpected tax bill or a penalty when they filed this year to do a checkup. It’s also an important … Read More

Summer Webinars – Get’Em While It’s HOT!!

NSTPInternal Revenue Service (IRS)

Summer Webinars - Get 'Em While It's HOT!!

Summer Webinars – Get 'em while it's HOT! Cool off with the best tax instruction out there from the comfort of your home, favorite cafe, or pool! To register or for more course details, please visit the NSTP website. BB. Introduction to and Overview of the Federal Income Tax Issues of a Subchapter S-Corporation from Start-Up and Operation to Liquidation, 4 CE August 23, 2019, 10:30 am- 2:00 pm PT Instructor: Paul La Monaca, CPA, MST This course introduces the Tax Professional who has never prepared a Subchapter S Corporation Form 1120S with the basic knowledge needed to understand the flow of the tax characteristics of the separately stated and non-separated stated items of income, deductions, losses and credits as well as understanding the importance of a proper election to be taxed as a pass through entity. To register or for more course details, please visit the NSTP website. FF. Managing Your Tax Business to Maximize Efficiencies, 4 CE August 27, 2019, 10:00 am- 2:00 pm PT Instructor: Nina Tross, MBA, EA This course will present information on topics ranging from client management, office operations, and time management to human resource issues. Please note: EAs will not receive any CPE for this … Read More

Summer Webinars – Get’Em While It’s HOT!!

NSTPInternal Revenue Service (IRS)

Summer Webinars - Get 'Em While It's HOT!!

Summer Webinars – Get 'em while it's HOT! Cool off with the best tax instruction out there from the comfort of your home, favorite cafe, or pool! LL. Choice of Business Tax Entity After the Federal Tax Changes in The Tax Cuts and Jobs Act, 4 CE August 15, 2019, 10:00 am-2:00 pm PT Instructor: Instructor: Nina Tross, MBA, EA This course will examine the various business tax entity choices and the federal tax changes which impact the business taxpayer resulting from the 2017 Tax Cuts and Jobs Act. To register or for more course details, please visit the NSTP website. MM. Things Learned During the 2018 Filing Season: Things We Thought We Knew, 3 CE August 16, 2019 10:00 am-12:30 pm PT Instructor: Paul La Monaca, CPA, MST At the completion of this course, participants will be alerted to some federal tax issues and surprises that they were unaware and other items that they thought they were reporting properly. The participants will be better equipped to address issues that they were not familiar or not comfortable v.ith prior to the presentation. To register or for more course details, please visit the NSTP website. QQ. §121 Principal Home Sale Exclusion Issues, 1 … Read More

ITINS Set to Expire

NSTPIndividual Taxpayer Identification Number (ITIN), Internal Revenue Service (IRS)

ITINS Set to Expire

ITINS Set to Expire in 2019; IRS Says Renew Early to Prevent Refund Delays Nearly 2 million Individual Taxpayer Identification Numbers (ITINs) are set to expire at the end of 2019 as the Internal Revenue Service continues to urge affected taxpayers to submit their renewal applications early to avoid refund delays next year. “We urge taxpayers with expiring ITINs to take action and renew the number as soon as possible. Renewing before the end of the year will avoid unnecessary delays related to their refunds,” said IRS Commissioner Chuck Rettig. “To help with this process, the IRS is sharing this material in multiple languages. We encourage partner groups to share this important information to reach as many people with ITINs as possible.” Under the Protecting Americans from Tax Hikes (PATH) Act, ITINs that have not been used on a federal tax return at least once in the last three consecutive years will expire December 31, 2019. In addition, ITINs with middle digits 83, 84, 85, 86 or 87 that have not already been renewed will also expire at the end of the year. These affected taxpayers who expect to file a tax return in 2020 must submit a renewal application … Read More