Tax

Three accounting firms based in Jackson, Miss., are combining with CPA firm BKD LLP.

With the current estate tax regime set to expire in 2010, it’s time to consider what comes next, say the nation’s tax experts.With that sunset date fast approaching, the Tax Division of the American Institute of CPAs has taken its comprehensive reform proposal and boiled it down to a top-seven priority list of suggested reforms that it urged Congress to pass prior to the expiration date.

The Treasury Department said it has sent out 7.708 million economic stimulus payments, or tax rebates, in the first week, totaling $7.091 billion.

Amazon.com has sued New York State over a new law that requires Internet businesses that receive referrals from other Web sites in the state to begin taxing purchases by New York customers.

2008 was to be the year that companies and their tax advisors worked to get their nonqualified deferred-compensation plans in order to comply with the new requirements under Code Section 409A and the regulations thereunder. Recent positions from the Internal Revenue Service are, however, expanding the focus of compensation concerns for 2008 beyond deferred compensation to include deductions for current performance-based compensation.BACKGROUND

Just because the idea of violating a patented tax strategy sounds ridiculous on its face doesn’t mean you won’t get sued for using it.Currently, some 65 tax patents have been issued, and 109 more are pending, according to Eileen Sherr, technical manager at the American Institute of CPAs’ Tax Division. “Many of these are common twists on everyday transactions,” observed Sherr, who attended a recent Internal Revenue Service hearing on the issue.

Taxpayer Advocate Nina E. Olson is putting new pressure on lawmakers to establish nationwide standards that would weed out bad-apple tax practitioners and serve to protect the more than 60 percent of taxpayers who rely on paid tax preparers.In bluntly worded testimony suggesting that she is losing patience with both Congress and her own agency, Olson called on the House Ways and Means Committee to move forward on proposals to rein in rogue tax preparers and protect American taxpayers from other forms of abuse.

The Internal Revenue Service is making progress on devising a strategy to narrow the tax gap, but significant challenges remain, according to a new report by the Treasury Department's inspector general.

Orrtax Software Solutions has renamed itself IntelliTax to reinforce its current software line.

The House Ways and Means Subcommittee on Select Revenue Measures held a hearing to discuss tax incentives for post-secondary education.