The U.S. Court of Appeals for the District of Columbia has upheld the District Court ruling in the case of Loving vs. IRS, affirming that the IRS does not have the authority to regulate tax return preparers. The ruling was issued on Tuesday, Feb. 11, 2014. This means that the IRS cannot require tax preparers […]
Another day, another lawsuit. This time the plaintiffs argued that the IRS’s interpretation of the ACA was contrary to the statute, which, they asserted, authorizes tax credits only for individuals who purchase insurance on state-run exchanges, but not on federal exchanges. The court ruled “that the plain text of the statute, the statutory structure, and […]
The IRS is working on switching over to more automated tax payer services intended to reduce the cost of manpower required to handle tasks that can be easily handled with online applications. Amendments are now trackable on the IRS’s website. Your refund can be tracked, as well. You can get your transcripts on the website. […]
From our family to yours, Federal Direct would like to wish everyone a safe and happy holiday season! Federal Direct corporate offices will be closed on Christmas Eve December 24th and Christmas Day December 25th. Merry Christmas and Happy Holidays!
Last tax season marked an increasing level of noncompliance by tax preparers with the Internal Revenue Service’s due diligence reporting requirements for the Earned Income Tax Credit, according to a new report reviewing the IRS’s performance during the delayed tax season. The report, from the Treasury Inspector General for Tax Administration, found that as of […]
IRS statistics show that approximately 4% of all returns including schedule C income eventually get audited. Half of these returns are audited due to a random selection and the other half are chosen based upon a scoring assessment based upon IRS standardization charts for different acceptable business expenses. The IRS released that the most common […]
Oct 15th is the date published on the IRS’ official e-file chart, but they have changed it to 8am Eastern, Monday October 31st. There is no additional time past this date to electronically resubmit returns that have been rejected, they will have to be paper filed. What does this mean for my office? – Any […]
The IRS announced that they will be continuing their “Knock and Talk” EIC preparer education program, along with sending compliance letters, initiating preparer due dilligence audits, and requiring additional information be attached to all returns claiming EITC. Prepareres will not notice much differece in the preparation process as now the tax preparation software will submit the EITC checklist […]
Provisional PTINs: available through 4/18/2012. This means that you WILL be able to get a PTIN prior to completing the preparers examination up to this date. If you already have a PTIN, you will need to renew that PTIN for a fee of $64.25 after October 15th, 2011 for the coming tax season. You will […]
For anyone who has not heard the deadline for avoiding having to take the RTRP Examination until December 2013 is October 1st. Federal Direct can assist you get your PTIN now, but if you delay, you will experience multiple additional charges and an examination before you can preparer taxes this year! If you do not […]