This week we look at:

• House passes BBBA, but not clear what the Senate will do
• IRS clarifies 2021-2022 treatment of meals and incidentals per diem
• Self-directed IRA implodes on taxpayer due to find that assets were held personally and commingled with other assets
• IRS gives guidance on timing of PPP forgiveness income, as well as very short term BBA partnership amended return relief

Copyright 2021, Kaplan, Inc.

This week we look at:

• TAS will not intervene in amended return delayed processing cases
• Inflation adjusted amounts released for 2022
• Taxpayer denied in request to make late §475(f)(1) election to mark to market as a trader

Copyright 2021, Kaplan Financial Education

This week we look at:

• IRS announces retirement plan inflation adjusted numbers for 2022
• Congress passes Infrastructure Investment and Jobs Act, sent to President for signature

Copyright 2021, Kaplan, Inc.

This week we look at

• The Build Back Better Act draft’s tax provisions (some)

• What’s not in the bill

• Individual provisions

• Corporate provisions

Copyright 2021, Kaplan, Inc.

This week we look up:

• More talking but no action in DC on pending legislation 
• Rehiring retired employees discussed in IRS FAQ
• Appeals panel agrees that claim of right doctrine did not apply to grantor trust stock sale
• IRS issues formal draft of S corporation basis reporting form

Copyright 2021, Kaplan, Inc.

This week we look at:

• Two weeks later, Congress is still working on the infrastructure and reconciliation bills
• IRS outlines information requirements for §41 refund claims
• Taxpayer is not getting impermissible double benefit for paying alimony with pre-tax funds
• COBRA extension dates clarified by IRS
• IRS publishes documents regarding reliance on FAQs

Copyright 2021, Kaplan, Inc.

This week we look at:

• Congress is still working on the infrastructure and reconciliation bills
• We get the Tax Court on record for the proper treatment of hobby loss deductions-that is, where they are reported
• IRS to begin charging a fee on October 28 to issue closing letters to estates

Copyright 2021, Kaplan, Inc.

This week we look at:

• Taxpayer has issues with auto expenses, retirement plan contributions and demolition expenses in Tax Court
• Buy-sell agreement that wasn’t followed and was a found as a way to transfer business to brother as a way to escape transfer tax not followed by District Court

Copyright 2021, Kaplan Financial Education

This week we look at:

• Ways and Means Committee finishes markup of proposed new tax bill.
• Language of legal settlement made all of the settlement amount taxable to taxpayer regardless of the fact that payor likely had other reasons to settle
• Taxpayer had reasonable basis to rely upon prior case settlement even though Court found opposite results this time

Copyright 2021, Kaplan, Inc.

This week we look at:

• High low per diem and related guidance for FY 2021/2022 released
• Rules for reporting COVID-19 credit related leave on Forms W-2 for 2021
• Is the client required to amend a return? And, if so, when?

Copyright 2021, Kaplan, Inc.