Do you have questions about reporting your digital assets? Or if you even need to report them? Martha Waggoner for The Tax Advisor reviews and breaks down the latest instructions from the IRS in her article, Taxpayers reminded about digital asset question and income reporting. She begins by defining digital assets and then offers clear, point by point tips to consider when completing your tax forms.
Tag: The Tax Advisor
Tax Payer Relief
Following our last blog about the budget cuts at the IRS and what that means for tax payers this season, we offer this article from The Tax Advisor: Taxpayers need relief now, AICPA and other organizations say. The consortium known as the AICPA comprised of many different accounting bodies has made the following recommendations.
The group recommends that the IRS:
- Discontinue automated compliance actions until the IRS is prepared to devote the necessary resources for a proper and timely resolution of the matter;
- Align requests for account holds with the time it takes the IRS to process any penalty abatement requests;
- Offer a reasonable-cause penalty waiver, similar to the procedures of a first-time abatement (FTA) administrative waiver, without affecting the taxpayer’s eligibility for FTA in future tax years; and
- Provide taxpayers with targeted relief from both the underpayment-of-estimated-tax penalty and the late-payment penalty for the 2020 and 2021 tax years.
Read more from the AICPA here: Taxpayers need relief now, AICPA and other organizations say