Tax Topics

Leanne Broyles, Esq.,Senior Associate Resident estates and trusts are subject to Virginia state income tax on nearly all of their federal taxable income1. Effective July 1, 2019, recently enacted House Bill 2526 (HB2526) modifies the definition of a resident estate or trust for Virginia state income tax purposes2. HB2526 significantly impacts the tax treatment of […]

Eli Noff, Esq., Partner EXECUTIVE SUMMARY New Act Provides Key Business Extenders: New Act Provides Key Individual Extenders: On December 20, 2019, the president enacted the Further Consolidated Appropriations Act, 2020 (FCAA).[1]Although it primarily acts to avoid a government shutdown by funding the government through September 30, FCAA includes numerous notable tax law changes, including […]

Leanne Broyles, Esq., Associate Executive Summary Proper interpretation of will provision regarding whether estate may claim $2.25 million that passed to spouse as marital deduction to decedent’s gross estate depends on what terms of the will say-not the intent the terms may suggest. Tax Court is only authorized to waive interest and penalties for reasonable […]

Eli Noff, Esq., Partner EXECUTIVE SUMMARY Although frequently overlooked, the international reporting form, known as the BE-10, has a rapidly approaching May 31, 2020, deadline. If you own 10% or more of a foreign company or foreign rental real estate, then you must file this report. With significant penalties, both criminal and civil, at stake […]

In response to the financial crisis caused by COVID-19, the newly enacted CARES Act has created a new payroll-related form of relief for employers. Coined The Employee Retention Credit, this relief measure allows eligible employers to obtain a refundable credit against the employer-only portion of social security taxes (or Railroad Retirement Tax Act taxes). Question […]

On February 27, 2020, news quickly spread throughout the tax world concerning the announcement that Erin M. Collins has been appointed to serve as the new National Taxpayer Advocate (NTA). Both the U.S. Department of the Treasury’s press release[1] and the Taxpayer Advocate Service’s announcement[2] introduce taxpayers to the new NTA-the “voice” of the taxpayer. According to […]

On March 11, 2020, in an effort to assist businesses affected by COVID-19’s economic impact, Maryland Comptroller Peter Franchot announced the June 1stextension of business-related tax filing deadlines. Specifically, the announcement provided that: [t]he June 1stextension applies to certain business returns with due dates during the months of March, April and May 2020 for businesses […]

Tax season is upon us. The tax filing deadline is just over four weeks away and many taxpayers are gathering their tax forms and starting to fill out their returns. Whether looking at a big refund or a tax bill, taxpayers can help to better ensure a smooth process by avoiding these common errors: Mistakes […]

Tax audits are not uncommon. The Internal Revenue Service (IRS) conducted one million audits in 2017 alone. The agency generally conducts these tax audits either through mailings or with an agent showing up at your home or place of business. The agency conducted the vast majority of the one million audits from 2017, approximately 75%, […]

An IRS news release, issued January 22, 2020, warned taxpayers not to fall victim to “ghost” tax return preparers this tax filing season.[1] The IRS reminded taxpayers that a paid tax return preparer is required by law to have a valid Preparer Tax Identification Number (PTIN). The IRS clarified that a paid preparer must include […]