Tax

Plans by Internal Revenue Service officials and federal lawmakers to establish new national certification and testing requirements for unlicensed tax return preparers are drawing cautious support from mainstream tax professionals.

The Energy Tax Incentives Act of 2005, passed as part of the 2005 Energy Act and signed by President Bush on Aug. 8, 2005, includes a series of new credits aimed at encouraging the purchase of various types of new alternative fuel vehicles.

With Congress preparing to reconvene in early September, Senate Majority Leader William H. Frist said a vote to fully repeal the estate tax will be tops on the to-do list.

Reports are that MCI, formerly WorldCom Inc., is close to a settlement that would pay out $315 million to 14 states and the District of Columbia in order to settle back tax claims.

The Internal Revenue Service will offer special relief to taxpayers in the disaster areas struck by Hurricane Katrina.

The 12th meeting of the President's Advisory Panel on Federal Tax Reform will be held on Sept. 15 in Washington.

Minnesota's Department of Revenue will give residents who have used abusive tax shelters until Jan. 31 to amend their tax returns without facing new penalties passed during the 2005 special legislative session.

The 11th meeting of the President's Advisory Panel on Federal Tax Reform will be held on Sept. 8 in Washington.

Specifics of a deal are being hammered out between federal prosecutors and KPMG LLP, and the name of former Securities and Exchange Commission Chairman Richard Breeden is being floated to serve as in independent monitor of the firm's future activities.

A Council On State Taxation representative told the National Conference of State Legislatures they should expect a hearing before the Senate Finance Committee this fall.