News

AICPA recommendations regarding estimated tax and gift tax extension

April 09, 2021

The situation regarding the May 17 bifurcated filing and payment due date with IRS keeping the 1st quarter estimated payment at April 15 is extremely fluid. There is also uncertainty regarding filing an extension for gift tax returns due April 15.

  • advocacy - federal
  • federal tax

Biden Open to Compromise on Corporate Tax Hike

April 09, 2021

President Biden said he is open to compromise on how to pay for his $2.5 trillion infrastructure and jobs package but added that “inaction is simply not an option.”

  • business and industry
  • advocacy - federal
  • federal tax

IRS explains which meals qualify for temporary 100% expense deduction

April 09, 2021

The IRS released guidance on Thursday explaining when the temporary 100% deduction for restaurant meals is available and when the 50% limitation on the deduction for food and beverages continues to apply for Sec. 274 purposes (Notice 2021-25).

  • advocacy - federal
  • federal tax

IRS suspends requirement to repay excess advance payments of the 2020 Premium Tax Credit; those claiming net Premium Tax Credit must file Form 8962

April 09, 2021

The American Rescue Plan Act of 2021 suspends the requirement that taxpayers increase their tax liability by all or a portion of their excess advance payments of the Premium Tax Credit (excess APTC) for tax year 2020.

  • federal tax

U.S. Pitches New Global Tax Deal

April 09, 2021

The Biden administration has pitched a compromise to counterparts around the world that would apply new global tax rules to no more than 100 large multinational corporations.

  • business and industry
  • advocacy - federal
  • federal tax

Interstate tax issues on the rise for employees, businesses

April 07, 2021

Employees who move to low-tax states to take advantage of telecommuting during the pandemic may still be taxed by their former residence, as more states levy taxes on cross-border business.

  • coronavirus
  • state tax
  • advocacy - federal
  • federal tax

How the American Rescue Plan Affects Families

April 06, 2021

The American Rescue Plan went into effect in March 2021. Among other things, the act affects tax planning for individuals who are unemployed and for people who have children. It also authorized the sending of a third round of stimulus checks. Here's what you need to know.

  • state tax
  • federal tax

DRS Issues Guidance on Unemployment Compensation Exclusion for Connecticut Taxpayers

April 05, 2021

Last night the DRS issued a new taxpayer services bulletin: Taxpayer Services Special Bulletin TSSB 2021-2, Impact of Federal Unemployment Compensation Exclusion on Connecticut Taxpayers.

  • state tax
  • federal tax

IRS letters explain why some 2020 Recovery Rebate Credits are different than expected

April 05, 2021

As people across the country file their 2020 tax returns, some are claiming the 2020 Recovery Rebate Credit (RRC). The IRS is mailing letters to some taxpayers who claimed the 2020 credit and may be getting a different amount than they expected.

  • coronavirus
  • advocacy - federal
  • federal tax

KPMG debuts tax data analysis tool

April 05, 2021

KPMG has created a data analysis tool to extract relevant information from financial and other reports and plug it automatically into tax returns.

  • member news
  • state tax
  • technology and cybersecurity
  • federal tax

IRS to recalculate taxes on unemployment benefits; refunds to start in May

March 31, 2021

To help taxpayers, the Internal Revenue Service announced today that it will take steps to automatically refund money this spring and summer to people who filed their tax return reporting unemployment compensation before the recent changes made by the American Rescue Plan.

  • coronavirus
  • personal financial planning
  • federal tax

Emergency aid granted to students due to COVID are not taxable

March 30, 2021

The Internal Revenue Service issued frequently asked questions today on how students and higher education institutions should report pandemic-related emergency financial aid grants.

  • coronavirus
  • state tax
  • federal tax

DRS Shares Remote Work FAQs

March 29, 2021

As set forth in the Commissioner’s Bulletin, the Department of Revenue Services (DRS) will provide new information regarding H.B. No. 6516 as it becomes available. The following is a list of frequently asked questions that have been received by DRS since the issuance of the Commissioner’s Bulletin.

  • coronavirus
  • state tax
  • advocacy - state
  • federal tax

IRS extends additional tax deadlines to May 17 - does NOT include estimated payments

March 29, 2021

The Internal Revenue Service today announced that individuals have until May 17, 2021 to meet certain deadlines that would normally fall on April 15, such as making IRA contributions and filing certain claims for refund.

  • coronavirus
  • state tax
  • advocacy - federal
  • federal tax

Face masks and other personal protective equipment to prevent the spread of COVID-19 are tax deductible

March 26, 2021

The Internal Revenue Service issued Announcement 2021-7 PDF today clarifying that the purchase of personal protective equipment, such as masks, hand sanitizer and sanitizing wipes, for the primary purpose of preventing the spread of coronavirus are deductible medical expenses.

  • coronavirus
  • federal tax

More Economic Impact Payments set for disbursement in coming days; taxpayers should watch mail for paper checks, debit cards

March 22, 2021

The Internal Revenue Service announced today that the next batch of Economic Impact Payments will be issued to taxpayers this week, with many of these coming by paper check or prepaid debit card.

  • coronavirus
  • personal financial planning
  • federal tax

Revenue Services: Connecticut filing, payment deadlines for individual income tax returns extended to May 17, 2021

March 18, 2021

At Governor Lamont’s direction, Commissioner Mark D. Boughton announced today that the Department of Revenue Services (DRS) is extending the filing and payment deadline for Connecticut individual income tax returns to Monday, May 17th, 2021.

  • state tax
  • federal tax

House passes PPP deadline extension in 415-3 vote

March 17, 2021

A bill to move the Paycheck Protection Program application deadline from March 31 to May 31 sailed through the U.S. House of Representatives on Tuesday night, passing in a 415-3 vote that sends the legislation to the Senate for consideration.

  • business and industry
  • coronavirus
  • practice management
  • advocacy - federal
  • federal tax

Tax Day for individuals extended to May 17: Treasury, IRS extend filing and payment deadline

March 17, 2021

The Treasury Department and Internal Revenue Service announced today that the federal income tax filing due date for individuals for the 2020 tax year will be automatically extended from April 15, 2021, to May 17, 2021. The IRS will be providing formal guidance in the coming days.

  • coronavirus
  • state tax
  • advocacy - federal
  • federal tax

SBA EIDL Payments Not Due Until 2022

March 15, 2021

mall businesses have even more time to pay off certain emergency loans as the SBA said the first due date for repayment of EIDLs made in 2020 is extended from 12 months to 24 months from the date of the note. For loans made in 2021, including loans under the COVID-19 EIDL program, the first payment due date is extended from 12 months to 18 months from the date of the note.

  • business and industry
  • coronavirus
  • practice management
  • federal tax