Archive for the ‘IRS’ Category

Treasury and IRS Announce That All Legal Same-Sex Marriages Will Be Recognized For Federal Tax Purposes; Ruling Provides Certainty, Benefits and Protections Under Federal Tax Law for Same-Sex Married Couples

IR-2013-72, Aug. 29, 2013

WASHINGTON — The U.S. Department of the Treasury and the Internal Revenue Service (IRS) today ruled that same-sex couples, legally married in jurisdictions that recognize their marriages, will be treated as married for federal tax purposes. The ruling applies regardless of whether the couple lives in a jurisdiction that recognizes same-sex marriage or a jurisdiction that does not recognize same-sex marriage.
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IRS Considers Tax Protesters ‘Constitutionally Challenged’

IRS Simplifies Late S Corp Elections

The Internal Revenue Service has combined parts of several revenue procedures into a new revenue procedure that provides relief to companies that make late elections to become S corporations.

PRF Accounting and Tax Announces NEW website!

Come visit PRF Accounting and Tax completely redesigned website! October 15th is coming quickly, so if you need to get your 2012 taxes filed we can help!! Also we have provided tools to help you get organized to file 2013 Form 1040.

IRS Cancels Next Employee Furlough Day

Washington, D.C. (July 16, 2013)
By Michael Cohn
http://www.taxprotoday.com

The Internal Revenue Service told its employees and the union representing them Tuesday that it has taken various budget-related steps that will enable it to cancel the next planned unpaid furlough day for employees on Monday, July 22.

IRS employees already have undergone three such days, according to the National Treasury Employees Union.

“While I am concerned that this announcement comes so close to the planned furlough day, it is a positive development arising from our continuing discussions with the agency on furloughs,” said NTEU president Colleen M. Kelley in a statement. “We have been encouraging the agency, and working with it, in an effort to find savings sufficient to allow it to cancel employee furloughs. As we continue these discussions, we will be pressing for cancellation of the fifth and final planned furlough day, on August 30.”

Kelley added that the NTEU is also pleased that the IRS has embraced the union’s recommendation to allow employees to use unscheduled leave next Monday. She emphasized that the IRS will be open for business next Monday. It was closed to the public on the three furlough days (see IRS Closed Friday Due to Budget Cuts and Sequester).

“Dealing with tax matters is a year-round business, not just during the traditional tax-filing season,” Kelley said. “Whether you have an estate issue, want to know about filing an amended return, are dealing with the growing crime of identity theft or have any of a number of tax-related questions or issues, the IRS needs to be open for America’s taxpayers,” she said. “Closing it is not just unprecedented, it is damage caused by the foolhardy policy of sequestration.”

The NTEU noted that it is still in talks with the IRS about the payment of awards earned by employees for performance in 2012. NTEU earlier had rejected the suggestion from senior IRS leaders that canceling furlough days was contingent upon not paying performance awards. NTEU believes both objectives can be reached.

Last week, IRS principal deputy commissioner Danny Werfel emailed an internal memo to IRS staff saying he hopes to eliminate the estimated $70 million in bonuses this year for IRS employees because of automatic spending cuts imposed by the budget sequester.

According to the Washington Post, Werfel said he had directed senior staff members at the IRS to come up with ways to eliminate the performance awards even though the IRS has collective bargaining agreements with the NTEU guaranteeing the bonuses if certain conditions are met.

“It is my intention to continue to pursue eliminating award payouts this year to bargaining unit employees,” Werfel said in the memo, according to Fox News. “This approach is consistent with government-wide policy, which requires suspension of awards during sequestration to the extent appropriate legal procedures are complied with.”

-Tax Pro Today