Author Archives: Russ

Are Cryptocurrency (Bitcoin) Transactions Always Short-Term?

Posted on December 9, 2017 by Russ

One of my clients sent me a link to a tweet (on Twitter) from Peter Brandt: Nope. Wrong. The IRS will not consider BTC for long term gains. Short-term no matter how long held. — Peter Brandt (@PeterLBrandt) December 8, … Continue reading →

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Nominations Due for 2017 Tax Offender of the Year

Posted on December 6, 2017 by Russ

In a little less than a month it will be time to reveal this year’s winner of the prestigious “Tax Offender of the Year” award. Remember, To be considered for the Tax Offender of the Year award, the individual (or … Continue reading →

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IRS Interest Rates Unchanged for First Quarter of 2018

Posted on December 6, 2017 by Russ

The IRS announced that interest rates for the first quarter of 2018 remain unchanged: The rates will be: • four (4) percent for overpayments [three (3) percent in the case of a corporation]; • 1 and one-half (1.5) percent for … Continue reading →

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What Portion of the Stipulation Didn’t You Read?

Posted on December 5, 2017 by Russ

A company owes withholding tax to the IRS. The case goes to Tax Court, where the issues are resolved, including a stipulated amount of withholding. Somehow the IRS forgets about the withholding. It then goes to a collection Appeals, where … Continue reading →

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IRS Mostly Wins Coinbase Summons Fight

Posted on November 29, 2017 by Russ

The IRS has been battling Coinbase, the United States’ largest cryptocurrency exchange, in a fight to obtain information about individuals who sold Bitcoins during 2013, 2014, and 2015. The IRS issued a summons to Coinbase–basically, an administrative demand for information. … Continue reading →

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Law 1, Seattle 0

Posted on November 28, 2017 by Russ

Earlier this year the city of Seattle unanimously passed a city income tax into law. The tax would be 2.25% on total income above $250,000 for individuals and on total income of $500,000 for married filing jointly. The law was … Continue reading →

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“Hello, It Has Been Detected That You Are a Scammer….”

Posted on November 16, 2017 by Russ

After recovering from a bout with the flu I attended continuing education yesterday with the Nevada Society of Enrolled Agents. We had a presentation from a Special Agent with TIGTA (the Treasury Inspector General for Tax Administration). One of the … Continue reading →

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GOP Tax Proposal Targets Professional Gamblers’ Losing Years

Posted on November 2, 2017 by Russ

The Joint Committee on Taxation released its new tax proposal, H.R. 1, today. Buried within it is Section 1305: SEC. 1305. LIMITATION ON WAGERING LOSSES. (a) IN GENERAL.—Section 165(d) is amended by adding at the end the following: ‘‘For purposes … Continue reading →

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Israel Tax Authority Targets Poker Professionals

Posted on November 1, 2017 by Russ

Some unknown bureaucrat working at the Israel Tax Authority was likely reading something about poker or perhaps watching the World Series of Poker on television when he asked himself, “I wonder if Israeli poker players are paying their income taxes?” … Continue reading →

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The Shortest Tax Court Opinion I’ve Seen

Posted on October 31, 2017 by Russ

I’ve seen opinions of the Tax Court run to hundreds of pages on complex cases. Today, I perused what might be the shortest Tax Court decision I’ve ever seen. The petitioner erroneously filed as “Head of Household” when she should … Continue reading →

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