Improper payments made by the federal government “continue to be an area of fiscal concern” according to a new report by the Government Accountability Office (GAO). For fiscal year 2019, these payments were estimated at $175 billion, up from $151 billion for FY 2018. Improper payments were concentrated in three programs: Medicaid ($57.4 billion); Medicare … Read More
The IRS has added two compliance campaigns to its list of large business areas warranting scrutiny. The new campaigns focus on fuel tax credits and research issues. The former will concentrate on taxpayers who received fuel mixture credits under the tax code but didn’t treat the credits as a reduction in their excise tax liability. … Read More
The IRS has a resource for taxpayers concerned about their passports being revoked because of tax debts. On its website, the IRS provides information on what types of debts the IRS does and doesn’t “certify” (what debts it reports to the U.S. State Department) and how to get a tax debt decertified. A seriously delinquent … Read More
If you’re self-employed and work out of an office in your home, you may be entitled to home office deductions. However, you must satisfy strict rules. If you qualify, you can deduct the “direct expenses” of the home office. This includes the costs of painting or repairing the home office and depreciation deductions for furniture … Read More
Scams always heat up during the tax filing season. One that consistently ranks high on the IRS list the worst scams, involves fake phone calls. Criminals pose as IRS agents, hoping to steal money or personal information from those they target. The IRS reminds taxpayers that they will never: call to demand immediate payment; threaten … Read More
Roughly half of CFOs believe an economic recession will hit by the end of 2020, and about three-quarters expect a recession by mid-2021, according to the 2019 year-end Duke University/CFO Global Business Outlook survey. In light of these bearish predictions, many businesses are currently planning for the next recession. Are you? Here are four steps … Read More
Do you know someone who’s unable to pay their taxes in full this year? There are ways to ease the burden. The taxpayer can enter into a written agreement with the IRS for the payment of tax in installments. There are several types of plans, including a short-term installment agreement of up to 120 days … Read More
Outside financial audits may seem like an extravagance to not-for-profits working to contain costs and focus on their mission. But undergoing regular audits allows your organization to identify risks early and act quickly to prevent problems. Independent audits also provide valuable reassurance to donors. Fortunately, you can reduce the cost of external audits with good … Read More
The Government Accountability Office (GAO) has issued a report that examines the challenges associated with enforcing rules governing IRAs invested in unconventional assets. The bottom line of the report is that the IRS can do a better job informing taxpayers about noncompliance related to such assets. Unconventional IRA investments include real estate, certain precious metals, … Read More
Married couples often wonder whether they should file joint or separate tax returns. The answer depends on your individual tax situation. It generally depends on which filing status results in the lowest tax. But keep in mind that, if you and your spouse file a joint return, each of you is “jointly and severally” liable … Read More