Category Archives: IRS

2017 Mailbag #1: The 1099 Doesn’t Show Up, So I Don’t Have to Report It, Right?

Posted on January 26, 2017 by Russ

It’s time for this year’s mailbag, and we’ll start with a common question: What happens if you’re expecting a 1099 and it doesn’t show up? There’s a twist as you will soon see: I did contract work for a company … Continue reading →

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It’s 1099 Time

Posted on January 3, 2017 by Russ

It’s time for businesses to send out their annual information returns. These are the Form 1099s that are sent to to vendors when required. Let’s look first at who does not have to receive 1099s: Corporations (except attorneys) Entities you … Continue reading →

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My E-Services Follies

Posted on December 15, 2016 by Russ

The IRS is trying to become a bit more security conscious. As part of their efforts, the IRS is having all e-Services account users who use the IRS’s “Transcript Delivery Service” re-validate their identities. Letters are being sent to impacted … Continue reading →

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IRS Appeals Implements Stupid Policy of Not Sending Initial Contact Letters

Posted on December 6, 2016 by Russ

I have a client who filed a Tax Court petition in late September. She is disputing additional tax from an Automated Underreporting Unit (AUR) notice. She didn’t respond to the initial AUR notice, so the way to resolve this is … Continue reading →

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Your Tax Professional, A Cop

Posted on December 1, 2016 by Russ

When I flew to visit my mother for Thanksgiving, I had to show my driver’s license to get through TSA security at the Las Vegas Airport. That’s not a surprise. When I prepare my mother’s tax return for 2016, I … Continue reading →

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That Was the Tax Season That Was

Posted on October 19, 2016 by Russ

Well, my sixteenth Tax Season is in the books. Let’s see what was good, bad, and ugly–and I’ll include a warning for next year. The Good: First, the IRS did a much better job with the Practitioner Priority Service (PPS). … Continue reading →

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On Disclosure

Posted on October 10, 2016 by Russ

As you may have heard, there’s a Presidential campaign going on. I try hard to avoid politics in this blog, but one story that came out relates to Donald Trump taking a Net Operating Loss (NOL) on his tax return. … Continue reading →

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On 1099 Due Dates in 2017

Posted on October 4, 2016 by Russ

You may have heard that Form 1099-MISC’s must be filed earlier next year. That’s true, but it only impacts some of the 1099s. Let’s look at the IRS instructions: New filing date. Public Law 114-113, Division Q, section 201, requires … Continue reading →

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Prepare to Panic

Posted on October 3, 2016 by Russ

No, I’m not talking about the two choices in this year’s presidential election. Rather, I’m talking about the situation if you have yet to send your tax paperwork to your tax professional. It’s just about time to panic. Mind you, … Continue reading →

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Another Incorrect IRS CP2000 Notice

Posted on September 28, 2016 by Russ

One of my clients received an IRS CP2000 notice today alleging he did not include $1000 of ordinary dividend income. And the IRS was correct: She forgot to provide me the 1099-DIV. Yet the IRS, in the same notice, states … Continue reading →

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