Tax & Accounting Blog

All IRS Operations Closed on Five “Furlough Days”

All IRS Operations Closed on Five “Furlough Days”

The Internal Revenue Service has announced that all IRS operations will be closed on May 24, June 14, July 5, July 22 and August 30, 2013. This includes all IRS offices nationwide, including all toll-free hotlines for taxpayer assistance, the National Taxpayer Advocate Service, and the nearly 400 taxpayer assistance centers. IRS employees are furloughed … Read More

Federal district court in Arizona issues final decision in demutualization case

Federal district court in Arizona issues final decision in demutualization case

On April 19, 2013, the federal district court in Arizona issued a final decision in the Dorrance case.  2013 WL 1704907.  This follows a preliminary decision in July, 2012.  See our previous bulletin, “Open Transaction Doctrine does not apply in insurance company demutualization case,” July 16, 2012. Background: A mutual insurance company has no … Read More

IRS Offers New “International Topic Index” of Tax Information for International Payments and Taxpayers

IRS Offers New “International Topic Index” of Tax Information for International Payments and Taxpayers

The IRS introduced a new service called the International Topic Index which will help both payers and recipients understand U.S. tax requirements relating to international transactions and filing requirements. The index will help individuals quickly locate relevant information from IRS informational pages, FAQs, forms, instructions, publications and other information sources. Topics are organized using IRS … Read More

Upcoming ONESOURCE Trust Tax and Tax Information Reporting Webcasts

Upcoming ONESOURCE Trust Tax and Tax Information Reporting Webcasts

This May, join our Trust Tax and Tax Information Reporting experts as we wrap up our three part series on FATCA for trusts and begin a two-part series on payments to foreign vendors. Webcast Details: FATCA Compliance Implementation Part 3 for U.S. Payers in Trust, Bank and Brokerage Date: Wednesday, May 22 Time: 2:00 PM … Read More

IRS Private Rulings on Tax Reporting of Account-opening Bonus Payments for IRAs and 529 Plans

IRS Private Rulings on Tax Reporting of Account-opening Bonus Payments for IRAs and 529 Plans

The Internal Revenue Service has issued two private letter rulings concerning the reportability of a cash bonus credited to a customer’s IRA account – or to a section 529 higher education savings plan account – as an account-opening incentive. In both rulings, the IRS held that an IRA new-account incentive bonus required no 1099 reporting. … Read More

IRS Issues Draft of Form 1042 for 2014, to Report Withholding on U.S. Source Income of Foreign Persons

IRS Issues Draft of Form 1042 for 2014, to Report Withholding on U.S. Source Income of Foreign Persons

The IRS has issued a draft of Form 1042 for calendar year 2014 reporting. The first use of the new version of this information reporting form will be the reconciliation of 2014 withholding, due date Match 15, 2015. A draft of the form can viewed on the IRS website. The IRS has not yet … Read More