Online Child Tax Credit Payment Tool
The IRS and Treasury have unveiled an online non-filer sign-up tool designed to help families who do not normally file tax returns and register for monthly Child Tax Credit (CTC) payments. The tool wo...
IRS Collection and Enforcement Update
Due to the recent progress the U.S. has made in controlling the COVID-19 pandemic and returning to normal economic activity, the IRS plans to return to its normal casework processes later this summer....
Late Filers Should File to Limit Penalties
The IRS reminded taxpayers who missed the recent tax-filing deadline but are due a refund that there is no penalty for filing late if a refund is due. Those who owe and missed the deadline without req...
IRS Updates Plug-In Credit for 2022 Vehicles
The IRS has added new 2022 models to the list of vehicles for which the plug-in vehicle credit would be available. The vehicles added include BMW and Mini vehicles. The BMW 745e XDrive has a credit am...
Adjustments for CTC, EITC, PTC Table
The IRS has modified inflation-adjusted amounts for the child tax credit (CTC), the earned income tax credit (EITC/EIC), and the applicable percentage table for Code Sec. 36B for calculating a taxpaye...
2022 HSA Amounts Released
The IRS has released the 2022 inflation-adjusted amounts for health savings accounts (HSAs) under Code Sec. 223. For calendar year 2022, the annual limitation on deductions under Code Sec. 223(b)(2) f...
Drafts of New Schedules K-2 and K-3 Released
The IRS and Treasury have released updated early drafts of new Schedule K-2 and Schedule K-3 for Form 1065, U.S. Return of Partnership Income, Form 1120-S, U.S. Income Tax Return for an S Corporation,...
Temporary Use of Digital Signatures Extended
The IRS has extended the list of federal tax forms that cannot be filed electronically for which it is temporarily allowing digital signatures. The IRS has also extended filing period for which digita...
AK - Alaska landing tax constitutional
The Supreme Court of Alaska held that the state landing tax does not violate the Import-Export and Tonnage Clauses of the United States Constitution or 33 U.S.C. §5(b).BackgroundIn this case, two com...
DE - Certain sussex county rates changed
The amount of additional Delaware property taxes that may be imposed by a county vocational-technical high school district or county vocational-technical center in Sussex County has changed. The amoun...
FL - Cap on voluntary cleanup credit increased
Florida increased the cap on total corporate income tax credits for voluntary cleanup of brownfield and other contaminated sites, from $10 million to $27.5 million for the 2021-2022 fiscal year. Ch. ...
IL - Local sales tax rate changes issued
The Illinois Department of Revenue has issued a local sales tax rate change summary, noting local rate changes effective July 1, 2021. Taxes that are affected include:business district sales tax;home ...
IA - Business interest expense guidance updated
Iowa recently updated its business interest expense guidance for corporate income taxpayers. Iowa’s conformity with the federal limitations on business interest expense deductions under IRC Sec. 163...
MA - Millionaire tax bill introduced
A bill introduced in Massachusetts proposes to amend the state constitution to allow an additional personal income tax on millionaires.Constitutional Amendment ProcessProposals to amend the Massachuse...
MS - City of Sardis repeals tourism tax
Effective July 1, 2021 the city of Sardis will repeal its tourism tax. The Sardis tourism tax is levied at the rate of 3% on the gross proceeds derived from sales of prepared foods at restaurants and ...
NE - Social security income exemption initiated
Nebraska initiated plans to provide an exemption from personal income tax for all social security income.Current TreatmentIndividuals computing Nebraska personal income tax liability can subtract soci...
OK - Employer blood donation credit enacted
Oklahoma has enacted a nonrefundable income tax credit for employers whose employees participate in a blood drive that is organized with a nonprofit blood donation organization. The blood drive may no...
TX - Texas offers tax relief in disaster areas
Texas businesses in state-declared disaster areas affected by recent flooding, tornadoes, hail and damaging wind will be granted a filing extension. Tax reports due May 20, 2021 and May 25, 2021, can ...
VT - Local tax changes announced
Vermont has announced local option sales tax and local option meals, alcoholic beverages, and rooms tax changes effective July 1, 2021.Local Option Sales TaxThe town of Elmore imposes a 1% local optio...
WV - Retailer may assume or absorb tax
A retailer can advertise or hold out or state to the public or to any purchaser, consumer, or user, directly or indirectly, that the West Virginia consumers sales, service, or use tax or any part of t...
WI - Virtual currency and other topics discussed
Wisconsin issued a tax bulletin noting that virtual currency, such as digital currency and cryptocurrency, is treated for tax purposes similar to other types of intangible property, and taxpayers must...
