Reminder of April 1 Deadline to Take Required Retirement Plan Distributions

sacramento — Today reminding taxpayers who turned age 70½ during 2016 that, in most cases, they must start receiving required minimum distributions (RMDs) from Individual Retirement Accounts (IRAs) and workplace retirement plans by Saturday, April 1, 2017. The April 1 deadline applies to owners of traditional (including SEP and SIMPLE) IRAs but not Roth IRAs…. Read More

Debt Cancellation May be Taxable

If a lender cancels part or all of a debt, a taxpayer must generally consider this as income. However, the law allows an exclusion that may apply to homeowners who had their mortgage debt canceled in 2016. Here are 10 tips about debt cancellation: 1. Main Home. If the canceled debt was a loan on… Read More

March 15 Deadline Looming

The 3/15/17 deadline is approaching for the following: (1) using up any remaining balance by participants in a Flexible Spending Arrangement (FSA) that offers a 2 1/2 month grace period after the end of the plan year (unless the employer adopted the $500 carryover rule), (2) filing calendar-year partnership and S corporation tax returns and… Read More

Get Credit for Making a Home Energy Efficient

Taxpayers who made certain energy efficient improvements to their home last year may qualify for a tax credit this year. Here are some key facts to know about home energy tax credits: Non-Business Energy Property Credit • Part of this credit is worth 10 percent of the cost of certain qualified energy-saving items added to… Read More

Dangerous W-2 Phishing Scam Evolving: Targets Schools, Restaurants, Hospitals, Tribal Groups

Help spread the word: The Internal Revenue Service, state tax agencies and the tax industry recently issued an urgent alert to all employers that the Form W-2 email phishing scam has evolved beyond the corporate world and is spreading to other sectors, including school districts, tribal organizations and nonprofits. The Summit partners continue to receive… Read More

Taxpayers Must Validate Identities When Calling the IRS:

In a news release, the IRS reminds taxpayers that they will be required to validate their identities when contacting IRS call centers. If the matter involves a personal tax account, the taxpayer must have the following ready: (1) Social Security numbers and birth dates for those listed on the tax return; (2) an Individual Taxpayer… Read More

IRS Won’t Reject Returns If Health Coverage Information Missing:

 Earlier this year, the IRS made changes to its system that would automatically reject tax returns that failed to provide information on health coverage. However, on 1/20/17, President Trump issued an executive order that directed federal agencies to waive, defer, grant exemptions from, or delay implementation of Affordable Care Act (ACA) provisions that impose a… Read More

Fiduciary Duty Rule to Be Reviewed

 On 2/3/17, President Trump signed a Presidential Memorandum directing the Department of Labor (DOL) to examine the fiduciary duty rule for economic and legal analysis and to rescind or revise it if it is inconsistent with the Administration’s priorities. The fiduciary duty rule, which is to be effective this April, addresses what is considered fiduciary… Read More

Capital Gains and Losses – 10 Helpful Facts to Know

  When a person sells a capital asset, the sale normally results in a capital gain or loss. A capital asset includes inherited property or property someone owns for personal use or as an investment. Here are 10 facts that taxpayers should know about capital gains and losses: Capital Assets. Capital assets include property such… Read More

IRS Makes Approved Form 1023-EZ Data Available Online

The Internal Revenue Service announced today that publicly available information from approved applications for tax exemption using Form 1023-EZ, Streamlined Application for Recognition of Exemption, is now available electronically for the first time. The data on is available in spreadsheet format and includes information for approved applications beginning in mid-2014, when the 1023-EZ form… Read More