Author Archives: Russ

2:42

Posted on July 26, 2014 by Russ

That’s how long I spent on hold on the IRS Practitioner Priority Service (PPS) yesterday–two hours, forty-two minutes. A client had made a payment and it was misapplied by the IRS; I needed to have the IRS correctly apply it. … Continue reading →

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DC Circuit Court of Appeals Deals ObamaCare Major Blow: Federal Exchange Tax Subsidies Axed

Posted on July 22, 2014 by Russ

The Court of Appeals for the District of Columbia dealt the Obama Administration a major blow today when the court ruled 2-1 that only state health exchanges plans are eligible for tax subsidies. The IRS had promulgated a rule that … Continue reading →

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Major Court Decision Extends Loving; IRS Enjoined from a Circular 230 Regulation

Posted on July 19, 2014 by Russ

Thus, what Ridgley challenges here is the IRS’s proclaimed authority to regulate fee arrangements entered into by CPAs for preparing and filing Ordinary Refund Claims before the commencement of any adversarial proceedings with the IRS or any formal legal representation … Continue reading →

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Victory for Lap Dances in Philadelphia

Posted on July 19, 2014 by Russ

The City of Philadelphia has a tax on amusements; it’s a 5% sales tax. Are lap dances performed at adult entertainment facilities subject to that tax? A court in Pennsylvania ruled no. Philadelphia billed three strip clubs adult entertainment facilities … Continue reading →

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If You’re a Fugitive, Posting on Facebook Isn’t a Good Idea

Posted on July 19, 2014 by Russ

This headline really tells the whole tale. But this tale deserves a full telling, so here goes: In August 1992, Francisco Legaspi was indicted on three counts of aiding and assisting in the presentation of false tax returns. In November … Continue reading →

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AICPA Sues to Stop IRS’s “Annual Filing Season Program”

Posted on July 15, 2014 by Russ

Well, that didn’t take long. As I predicted back on June 26th, the American Institute of CPAs (AICPA) has filed a lawsuit asking the court to stop the IRS’s new “Annual Filing Season Program.” From the AICPA’s press release: The … Continue reading →

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101 Minutes…

Posted on July 15, 2014 by Russ

Yesterday I had to call the IRS Practitioner Priority Service. One of my clients received a refund check where we believed he owed tax. It took 101 minutes–that’s one hour and forty-one minutes–before someone picked up my call. I hate … Continue reading →

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What Happened to the Circular 230 Notice?

Posted on July 13, 2014 by Russ

I sent a client an email today (responding to her query) and she wrote back, “What happened to the Circular 230 Notice?” What happened is that last week the IRS added the new revisions to Circular 230 on their webpage … Continue reading →

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Deadlines for Us, But Not for Them: GAO Gives IRS an F on Correspondence Audits

Posted on July 12, 2014 by Russ

Most reviews of IRS programs are conducted by TIGTA (the Treasury Inspector General for Tax Administration). However, the GAO (U.S. Government Accountability Office) also can review IRS programs. The GAO is an investigative arm of Congress. Last week, a GAO … Continue reading →

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Judge to IRS: Explain the Lost Emails Under Oath

Posted on July 11, 2014 by Russ

From the AP: U.S. District Judge Emmet G. Sullivan gave the tax agency a month to submit the explanation in writing. Sullivan said he is also appointing a federal magistrate to see whether the lost emails can be obtained from … Continue reading →

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