Taxes

The plan to starve the beast might not go quite as expected. The latest parry in the skirmish over the IRS’s expanded funding in the Inflation Reduction Act (IRA, P.L. 117-169) would rescind the bulk of the appropriated amounts. But a better approach would be for Congress to be more precise about what exactly it

The IRS is giving more extensions of time, this time to Hurricane Ian victims throughout both North Carolina and South Carolina. They now have until Feb. 15, 2023, to file various federal individual and business tax returns and make tax payments. This is similar to relief announced last week for Ian victims in Florida. The

The sentencing of Joshua Burrell to 48 months in federal prison is the sad ending to what started out as an optimistic story about opportunity zones living up to the vision that Sean Parker and Senator Tim Scott must have had when they backed the idea. As I reported in the story on his indictment,

Eric Solomon of Steptoe & Johnson LLP discusses the new excise tax on corporate stock buybacks and examines the issues that the IRS and Treasury will need to tackle before its implementation. This transcript has been edited for length and clarity. David D. Stewart: Welcome to the podcast. I’m David Stewart, editor in chief of

Share to Facebook Share to Twitter Share to Linkedin It has been holy writ among central banks that the goal of monetary policy should be to achieve a 2% rate of inflation. Federal Reserve boss Jerome Powell, for example, says he will fight the current inflation until it gets down to 2%. But this episode

A new corporate alternative minimum tax (“CAMT”) was enacted as part of the Inflation Reduction Act passed on August 16, 2022. The applicability of the CAMT under the most recent law is greatly diminished and was recently estimated to impact as few as 150 companies based on the Joint Committee of Taxation’s analysis. While at

As your income grows from your small business, it can be shocking how large your tax liabilities can be each year. From State and Federal income taxes to self-employment taxes, your tax bills can be painfully large. Tax planning is an essential part of running a successful business. Keep reading for ways to minimize your

Day and swing traders inevitably trigger many wash sale loss adjustments (WS) amounting to tens or hundreds of thousands of dollars. Take a loss on a security, repurchase it within 30 days (after or before), and that creates a WS loss. A WS reduces the cost basis on the position sold and adds the WS

Many employers and for profit companies are willing and able to provide financial assistance and services to those who have been harmed or dislocated by hurricane Ian. The Federal Tax Code and IRS Regulations and IRS Guidance provide ways to make these payments tax deductible without the recipients having to pay income tax on what

The Tax Law Center at New York University and the American Bar Association Section of Taxation prioritize guidance on coordinating the rules in section 959 with the provisions in sections 316, 312, and 961. Section 959 excludes a corporation’s previously taxed earnings and profits (PTEP) from a shareholder’s gross income when distributed. Guidance on coordination

Tax advisors are already working hard to determine how the IRS disaster relief announcements and Internal Revenue Code will impact disaster victims, and those who reside in disaster areas. While the first thoughts of many are how they are able to extend income tax returns that are due October 15th 2022 to February 15th, 2023

Not long ago, the IRS gave Puerto Rico hurricane victims extra time to file their taxes, up to February 15, 2023. And, the IRS has done it again for victims of storms and flooding that began on Sept. 15 in parts of Alaska. They now have until Feb. 15, 2023, to file various federal individual

States and cities constantly try to attract new businesses, through marketing, publicity, and branding events like the Super Bowl or presidential conventions. But among the most expensive things they do—and arguably the most wasteful and distracting—is granting tax and regulatory subsidies to companies, many of whom don’t need them. In New York State, Reinvent Albany

Tax Notes contributing editor Ryan Finley discusses the latest updates in recent transfer pricing cases Eaton and Medtronic II. This transcript has been edited for length and clarity. David D. Stewart: Welcome to the podcast. I’m David Stewart, editor in chief of Tax Notes Today International. This week: trials and tabulations. Periodically, we like to

For those who thought that the wealthier people in the United States already had an advantage in getting their kids through college: you were right. But a new study by a couple of academics shows a previously invisible advantage. Even financial aid provides a boost to those who already have enough money to put into

The IRS has given Hurricane Ian victims throughout Florida until Feb. 15, 2023 to file various federal individual and business tax returns and make tax payments. The IRS is offering relief to any area designated by the Federal Emergency Management Agency (FEMA). This means that individuals and households that reside or have a business anywhere

August was an exciting month for those who follow U.S. transfer pricing litigation. Courts handed down opinions in the high-stakes, long-running Medtronic MDT Inc. v. Commissioner and Eaton v. Commissioner cases. Although it is too soon to predict the long-term consequences of each opinion, for now both represent at least a partial loss for the

In 2021, Congress enacted sweeping legislation that temporarily cut child poverty nearly in half. A key feature was the expanded child tax credit (CTC), which lifted 5.3 million people out of poverty including 2.9 million children. Since the credit returned to its pre-2021 rules, child poverty bounced back up, and families struggled again to make

Share to Facebook Share to Twitter Share to Linkedin Dividend stocks are securities that include a regular distribution of the issuing company’s earnings. They operate like ordinary stocks and represent a share of ownership in a company. The stock price may move up or down. As long as the shareholder owns a stock, they receive

When you work at a public company, you face a unique conundrum in creating wealth. Much of your pay is in the form of company stock, often acquired via grants of stock options and/or restricted stock units (RSUs). You plan to sell company shares to meet financial goals, yet you don’t want to be accused