Practice Management

A bipartisan group of members of the House and Senate have written to IRS Commissioner Doug Shulman asking him to temporarily suspend the penalties on small businesses found using some questionable tax shelters.

A new report from the Government Accountability Office blames misreporting of charitable donation deductions as a major factor behind the tax gap, but said that requiring more information reporting might not improve compliance.

BNA RESTRUCTURES

The first budget agreement of the new Congress reflects not only its ability to at least reach agreement on a budget framework, but also the priorities of that new Congress and the new administration for tax legislation for the current year. Very little in the tax portion of the budget agreement comes as a surprise, except perhaps for the period of time that some of the proposals cover.

Strategy highlights service, enforcement, voluntary compliance

The IRS is asking the public to weigh in on the question of how to track cell phone usage when employers provide the phones to employees.

Two accounting firms in the Bay Area — Smith, Lange & Phillips LLP and Daoro Zydel & Holland LLP — are combining forces, with the merger set to take effect July 1.

Changes should be made in the layout and typeface of 1040 individual tax forms, including more use of boldface, colors and explanations, to help reduce taxpayer errors, recommends a new government report.

The IRS needs to do a better job of providing guidance on the real estate tax deduction so taxpayers can properly comply, recommends a new report from the Government Accountability Office.

A new appeals court ruling could make it easier for companies to claim research and development tax credits from the IRS by allowing them to rely on oral testimony instead of a project expense-tracking system.