As 2014 draws to a close, we are still waiting for Congress to pass the popular tax benefits commonly referred to as “extenders.” Although this is less than ideal for planning purposes, the good news is that much of the current Tax Code remains unchanged for the 2014 tax year and beyond. Click here to read the planning guide 2014 Year-End Tax Planning Guide
Read about the IRS Clarifies Program for Offshore Accounts, Tax Briefs, Filing Relief and Automatic Tax Deferral to US Participants in Canadian Retirement Plans, Compliance Calendar and much more - BKHM CPAs is always here to assist you with any of your tax matters - Contact us today!
IRS chief wars congress about possible delay to tax season from unresolved tax extenders. Internal Revenue Service commissioner John Koskinen has written a letter to the leaders of Congress's main tax committee urging them to decide soon on what to do about extending dozens of expired tax provisions, or else next tax season and the processing of tax refunds could be delayed.
Federal Tax Weekly newsletter for the week of June 19, 2014
- IRS Removes Covered Opinion Rules, Clarifies Other Provisions of Circular 230
- IRS Unveils "Taxpayer Bill of Rights" Revises Communications with Taxpayers
- Washington Report
and much more - click here for the full newsletter!
A List of Key Expired Tax Breaks
Several federal income tax breaks for individuals and businesses expired at the end of 2013. Although we're solidly into 2014, Congress has, so far, failed to extend many of the tax savings opportunities that you've become accustomed to. (Some observers predict that Congress won't act for months.)
The IRS recently issued a long list of cost of living adjustments (COLAs) for various Tax Code provisions in 2014 that are dependent upon the CPI-U index average from September 2012 through August 2013. The Tax Code requires that federal income tax brackets and certain other figures be adjusted annually for inflation. Because of inflation and rounding conventions, many provisions increase for 2014.
Final regs on the Patient Protection and Affordable Care Act (PPACA)’s Additional Medicare Tax have been released by the IRS. Additional Medicare Tax applies to employee compensation/self-employment income in any tax year beginning after December 31, 2012. The final regs generally track proposed regs issued in 2012, with some clarifications.
IRS Debuts Final Repair Regs
Business owners have lots of questions when it comes to deciding whether to expense costs or capitalize fixed assets, such as: