As attention turns to year-end tax planning and tax projections, it is important to remember the upcoming tax effects for individuals who received coronavirus-related distributions from retirement accounts during 2020. These distributions were reported on Form 8915-E, Qualified 2020 Disaster Retirement Plan Distributions and Repayments. (See discussion on pages 8 to 14 of the Tax Year 2020 M...
As discussed in our posts on September 21, 2021 and September 16, 2021, the federal due dates for some taxpayers affected by the remnants of Hurricane Ida have been delayed, and New York also offered limited relief for affected taxpayers. Late in the day on October 12, 2021, New York State announced additional relief to postpone October 15 due dates for taxpayers affected by the remnants of Hurr...
As discussed in our posts on September 9, 2021, August 26, 2021 and June 3, 2021, New York State has created an optional pass-through entity tax which can be used as a workaround for owners of pass-through entities that are affected by the $10,000 federal limitation on the itemized deduction for state and local taxes (often referred to as the SALT cap). The optional tax is effective for tax ye...
See our October 12, 2021 post for additional relief provided by New York State. As discussed in our post on September 16, 2021, the federal due dates for some taxpayers affected by the remnants of Hurricane Ida have been delayed, and New York also offered limited relief for affected taxpayers. While the federal relief offers affected taxpayers an extension of deadlines until January 3, 2022 for ...
See our October 12, 2021 post for additional relief provided by New York State. The remnants of Hurricane Ida caused significant flooding damage in many places in the Northeast. As a result, the IRS has deferred certain due dates for some taxpayers affected by the storm. This post focuses only on New York; some residents of other states are also eligible for relief. For federal purposes, ind...
As discussed in our posts on August 26, 2021 and June 3, 2021, New York State has created an optional pass-through entity tax which can be used as a workaround for owners of pass-through entities that are affected by the $10,000 federal limitation on the itemized deduction for state and local taxes (often referred to as the SALT cap). The optional tax is effective for tax years beginning on or...
On August 25, 2021, New York State issued TSB-M-21(1)C, (1)I, which provides guidance for the optional pass-through entity tax. As discussed in our post on June 3, 2021, New York State has created an optional pass-through entity tax which can be used as a workaround for owners of pass-through entities that are affected by the $10,000 federal limitation on the itemized deduction for state and loc...
Data breaches and cyberattacks have become commonplace. Practitioners must make sure that they secure their networks and data. Make sure that your IT provider or personnel are constantly monitoring your system, updating your firewalls, operating systems, antivirus software and other protective systems. Also make sure to regularly open files from your backup system, to make sure that you ca...
The IRS recently announced a new way for practitioners and taxpayers to submit a power of attorney on-line to the IRS. Practitioners can use their existing IRS e-services account to request a power of attorney for a client. Once the request is completed and submitted by the practitioner using the e-services account, the client can electronically sign the power of attorney using an existing i...
Some taxpayers may have chosen to defer a portion of their self-employment tax that was due as part of their 2020 federal income tax return. This was discussed on pages 30 to 32 of the 2020 edition of the Tax Year 2020 M+O=CPE Individual Tax Year-End Workshop Reference Book. This deferral was also available for the employer-share of the Social Security portion of the self-employment tax due ...
