IRS News Releases and Headliners

IRS Announcements & Upcoming Events

Idaho State Tax Commission Workshops

https://tax.idaho.gov/i-1126.cfm

The Idaho State Tax Commission offers free classes at their Boise, Coeur d’Alene and Lewiston offices.  See the website link to register.

Learn:

  • How to apply for permits for sales tax and income tax withholding
  • How to file and pay withholding and sales tax (online or on paper)
  • Answers to common questions that can cause confusion
  • Where to find the forms and other resources you’ll need
  • Who to contact for specific questions on your business or industry

 

Idaho Small Business Development Center Workshops

https://nisbdc.com/calendar/

The Idaho SBDC offers a continual schedule of affordable workshops, conferences, and special events; each designed to teach practical, hands-on small business management skills. Trainings are facilitated by dynamic, knowledgeable instructors, and range in content from introductory to advanced. Topics include marketing, cash flow, financial statements, business valuation, sales, bookkeeping, accounting, strategic planning and much more.

IRS Updates & News Releases:

Did you know? One of the best ways to get information is by visiting the IRS Small Business Tax Center where you can learn everything from how to get an Employer Identification Number (EIN) online to how to best navigate an audit.

Tax Reform – https://www.irs.gov/tax-reform

Clarification for business taxpayers: Payments under state or local tax credit programs may be deductible as business expenses

https://www.irs.gov/newsroom/clarification-for-business-taxpayers-payments-under-state-or-local-tax-credit-programs-may-be-deductible-as-business-expenses

Business taxpayers who make business-related payments to charities or government entities for which the taxpayers receive state or local tax credits can generally deduct the payments as business expenses, the Internal Revenue Service said today. Updates on the implementation of the Tax Cuts and Jobs Act (TCJA) can be found on the Tax Reform page of IRS.gov. Also see State and Local Income Tax FAQs.

Help spread the news about Taxpayer Advocate’s new Tax Reform Changes website

https://taxpayeradvocate.irs.gov/news/News-Tax-Reform-Changes-Website

Is your business or association involved in helping others understand federal income taxes and the ramifications of changes to those laws each year?  If yes, we invite you to visit our new site and then help us spread the word about the Taxpayer Advocate Service’s Tax Reform Changes website.

This mobile friendly Tax Reform Changes website shows how the new Tax Cuts and Jobs Act law may change future tax filings and helps everyone plan for these changes. It even includes line by line explanations and scenarios to describe how the new changes (that took effect for 2018) will be reflected on individual tax returns filed in early 2019. Plus, it’s designed so everyone can also easily see what items have and have not been changed.

The article has products you are welcome to post directly on your website, link to them, or use them on your social media sites. You can also watch for and re-tweet or share messages about this site from TAS’s social media channels.

 

Paycheck Checkup Campaign

Avoid penalty for underpayment of taxes; IRS says check withholding, make estimated payments

https://www.irs.gov/newsroom/avoid-penalty-for-underpayment-of-taxes-irs-says-check-withholding-make-estimated-payments

With nearly 10 million U.S. taxpayers facing a penalty for underpayment of estimated tax last year, the Internal Revenue Service urges taxpayers to plan ahead, understand their options and avoid the penalty when they file in early 2019. Those who are self-employed or have other income, such as interest, dividends, self-employment, capital gains, prizes and awards or have too little tax withheld from wages may need to make estimated or additional tax payments.

The U.S. tax system is essentially “pay-as-you-go.” Taxes must be paid as income is earned or received during the year. For people who receive salaries, wages, pensions, unemployment compensation and the taxable part of Social Security benefits, tax can be withheld. Some income is not subject to withholding. This includes some income from the sharing economy and income from self-employment or rental activities. Individuals, including sole proprietors, partners and S corporation shareholders, may need to make estimated tax payments unless they owe less than $1,000 when they file their tax return or they had no tax liability in the prior year (subject to certain conditions).

For more information about estimated taxes, see these IRS resources:

 

IRS YouTube Videos:
Estimated Tax PaymentsEnglish | Spanish | ASL

Retirees: Avoid a surprise tax bill; get enough tax taken out of pension payments; IRS Withholding Calculator can help

 

IRS Statement on Form W-4

https://www.irs.gov/newsroom/irs-statement-on-form-w-4

Following feedback from the payroll and tax communities, the Treasury Department and the IRS will incorporate important changes into a new version of the Form W-4, Employee’s Withholding Allowance Certificate, for 2020.  The 2019 version of the Form W-4 will be similar to the current 2018 version. A new draft version of the W-4 for 2019 will be available in the coming weeks.

 

More tax reform updates:

Treasury, IRS issue proposed regulations on charitable contributions and state and local tax credits

New law makes clear: Combat-zone contract workers qualify for foreign earned income exclusion

 

Other news releases:

Coming soon: A new tax transcript to better protect taxpayer data

https://www.irs.gov/newsroom/coming-soon-a-new-tax-transcript-to-better-protect-taxpayer-data

On Aug. 22, 2018, the IRS announced a change in the format of tax transcripts and provided a preview of proposed changes in the methods of distributing tax transcripts to taxpayers and their authorized third parties, such as tax practitioners. These changes were outlined in IRS News Release 2018-171.

The new format for individual tax transcripts will redact personally identifiable information from the Form 1040 series.  This replaces the previous format and will be the default format available via Get Transcript Online, Get Transcript by Mail or the Transcript Delivery System for tax professionals as of September 23. Financial entries will remain visible, which will give taxpayers and third-parties the data they need for tax preparation or income verification.

The IRS is making these changes to better protect taxpayer data from cybercriminals. As the IRS and its Security Summit partners continue to make inroads against tax-related identity theft, thieves have sought real data – such as transcripts – to better impersonate taxpayers as well as tax preparers.

 

Protect Your Clients; Protect Yourself: Tax Security 101

https://www.irs.gov/newsroom/protect-your-clients-protect-yourself-tax-security-101

“Protect Your Clients; Protect Yourself: Tax Security 101” is a Security Summit awareness campaign intended to provide tax professionals with the basic information they need to better protect taxpayer data and to help prevent the filing of fraudulent tax returns. The news releases and tax tips in this series are also provide beneficial information for all businesses on how to avoid becoming the victim of a data breach.

IRS warns of scams related to natural disasters

https://www.irs.gov/newsroom/irs-warns-of-scams-related-to-natural-disasters

In the wake of Hurricane Florence, the Internal Revenue Service is reminding taxpayers that criminals and scammers try to take advantage of the generosity of taxpayers who want to help victims of major disasters. Fraudulent schemes normally start with unsolicited contact by telephone, social media, e-mail or in-person using a variety of tactics. To help taxpayers donate to legitimate charities, the IRS website, IRS.gov, has a search feature, Tax Exempt Organization Search, that helps users find or verify qualified charities. Donations to these charities may be tax-deductible.

IRS announces adjustments to the Compliance Assurance Process (CAP) program

IRS: Offshore Voluntary Compliance Program to end Sept. 28

 

Tax Tips

https://www.irs.gov/uac/irs-tax-tips

Combat-injured disabled veterans may be due a refund

Facts to help taxpayers understand Individual Retirement Arrangements

IRS wants taxpayers to know they have rights when interacting with the agency

Retirees with pension income should do a Paycheck Checkup ASAP

Taxpayers should find out if they need to make estimated or additional tax payments

Employees with other sources of income should do a Paycheck Checkup

Here’s how and when to pay estimated taxes

Taxpayers should check out these helpful tax tools

Three steps charities applying for tax-exempt status need to take

Tax preparers: Avoid being speared

IRS launches new easy-to-use web pages to help all taxpayers understand tax reform