Tax

The Tax & Accounting business of Thomson Reuters is launching its first-ever series of federal tax eBooks, the first of which will be released on Friday.

President Obama held a news conference in which he sought to quell criticism from lawmakers from his own party of the deal he had struck with Republicans to preserve the Bush tax cuts even for upper-income earners for two more years.

Despite confusion created by recent and probable year-end tax legislation changes, the 2010 federal income tax environment is still quite favorable.

CCH, a Wolters Kluwer business, has entered into a partnership with Comtax, a provider of international tax planning software, to offer the Comtax System, which helps tax professionals reduce the tax costs of cross-border transactions.

The Senate failed on Saturday to overcome Republican-led opposition to two bills extending the Bush-era tax cuts to taxpayers making less than $250,000 and $1 million a year, prompting leaders to talk Sunday of progress toward a deal extending tax cuts for people at all income levels on a temporary basis, along with unemployment benefits.

Senate Finance Committee Chairman Max Baucus, D-Mont., has introduced a package of tax cuts for middle-class families after the House passed tax cut legislation Thursday extending the Bush-era tax rates.

Preparers looking for a wish list of provisions for the lame duck session of Congress to pass have a number of items to consider.

House Democrats passed a tax cut package on Thursday aimed at extending the Bush-era tax cuts for taxpayers who earn below $250,000, but the prospects for passage in the Senate will depend on the deal worked out by a bipartisan group of four lawmakers and two Obama administration officials.

The Internal Revenue Service has begun sending more than 10,000 letters to tax return preparers nationwide to remind them of their obligation to prepare accurate tax returns, and during the 2011 filing season, IRS representatives will visit approximately 2,500 tax return preparers who received the letters to discuss their responsibilities and verify their compliance.

The Internal Revenue Service detailed how, starting Jan. 1, 2011, paid tax return preparers can comply with a new law that requires them to electronically file tax returns for individuals, trusts and estates.