John Koskinen, President Obama’s nominee for Commissioner of the IRS, testified today before the Senate Finance Commitee at a hearing on his nomination.
Earlier this year, the First Circuit United States Court of Appeals issued its decision in United States v. Albania Deleon, 704 F.3d 189 (1st Cir., January 11, 2013). This case illustrates that worker misclassification may, in addition to the imposition of taxes and civil penalties, lead to criminal sanctions, including imprisonment.
In an ongoing effort to address question about how to treat the taxation of employee benefits for same-sex couple post-Windsor, the IRS has updated its FAQs for married same-sex couples with a couple of new questions and answers that further clarify how employers administer their plans.
Newly Proposed IRS Rules Could Change the Landscape of Political Engagement for Social Welfare Organizations
On Tuesday, November 26th, the Internal Revenue Service (“IRS”) announced the release of proposed regulations that seek to provide guidance to tax-exempt social welfare organizations and entities seeking such status regarding the boundaries of proper political engagement under Internal Revenue Code Section 501(c)(4) and its associated Department of Treasury regulations.
With approximately two month having passed since the end of the government shutdown, the fundamental question still remains; what exactly did Congress achieve through the contentious shutdown negotiations?
Under current law, advertising costs are fully deductible as an ordinary business expense. As our DLA Piper colleagues Evan Migdail and Bruce Thompson write in a new client alert: “Both the House and Senate Tax Committee chairmen are considering proposals to limit the deduction for advertising expenses.”
The United States Department of Justice and the National Office of the Internal Revenue Service are continuing to press forward with enforcement efforts to deal with those individuals and other persons who have not complied with required reportings of their foreign bank accounts, filing false or incomplete federal income tax returns and not making the required filings with their income tax return.
Using Parent Stock in Funding a Controlled Foreign Subsidiary’s Compensation Stock Arrangement: A Remake of the “Killer B” Transaction?
The Internal Revenue Service warned the international tax planning community that it will take a hard look if not deny the intended substance to certain transactions that have the effect of end-running the repatriation of foreign based accumulated earnings.
On November 8th, the Massachusetts Department of Revenue revised and reissued Letter Ruling No. 12-8, originally released July 16, 2012.