tax practice

2 ways the eitc error rate is high

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line graph
source: national taxpayer advocate annual report to congress 2018 [click for larger image]

and 6 contributing factors.

by 卡塔尔世界杯常规比赛时间 research

the earned income tax credit is considered one of the most efficient federal programs for sustaining people with inadequate income. part of the eitc’s efficiency results from the lack of an intermediary checking the qualifications of those who receive it.

more: who’d like a friend in the irs? | hello, irs? anybody home? | tax season 2019 serves up a taste of the future | the demise of schedule a? | tax refund fury roils busy season
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the tax return itself is the application for eitc. there is no other process, no pre-return vetting, no social workers. the closest thing to an intermediary is the tax preparer who makes sure the correct income is reported and the correct forms filled out.
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is the irs about to get beefed up?

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today’s bonus question: lessons from tax season to apply to 2020?

trump proposes 5% boost to the irs budget, reversing years of cutbacks and declines.

busy season barometer
today’s bonus question: what are firms learning from tax season 2019, that they’ll apply in 2020?
join the survey. get the results.

by 卡塔尔世界杯常规比赛时间 research

after many years of increasing austerity—and some would say crippling austerity—the irs may have bottomed out. despite broad cuts proposed in the overall 2020 federal budget, president trump has included an additional $362 million—a five percent increase—for the agency that gathers the funds that keep the united states in business.

more busy season: tax season funnies: april fool is when?  |  wanna change the tax world?   |  how the irs hides its legal decisions  |  tax season 2019 serves up a taste of the future  |  the biggest reason fraudsters run rings around the irs  |  the irs free-file flop  |  protect your clients’ assets  |  the demise of schedule a?  |  tammy’s tale of tax season tardiness  |  how effective project management makes your life easier  |  survey: busy season goes sour   |  when clients cash out: four smart financial moves

goprocpa.comexclusively for pro members. log in here or 2022世界杯足球排名 today.

if congress approves the budget as proposed (and that’s bound to be an exciting story), the irs can begin—just begin—to recover some of what has lost over the last decade or so.

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how the irs hides its legal decisions

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irs chief counsel office charged with intentionally evading its responsibilities to the public

by 卡塔尔世界杯常规比赛时间 research

like the universe itself, the internal revenue code keeps expanding toward infinity. in that its more than 2,600 pages are unclear in spots, there are an additional several thousand pages of rules and regulations. and just to clarify all that, there are tens of thousands of pages of court decisions.

more: tax season 2019 serves up a taste of the future  | the biggest reason fraudsters run rings around the irs  | the big free-file flop | the demise of schedule a? | refunds still up, but only by 0.7% | survey: busy season goes sour | tax refunds up 1.7% | lessons learned: how the federal shutdown hit busy season 2019 | tax refund fury roils busy season | taxpayer advocate slams congress over funding

goprocpa.comexclusively for pro members. log in here or 2022世界杯足球排名 today.

how many pages in all? no one knows. knowing, in fact, is impossible because in the time it takes to add them all up, their number increases. that’s why 卡塔尔世界杯常规比赛时间 believes it’s so critically important to a fair and well-functioning tax system that the irs office of chief counsel (occ) be held accountable for disclosing technical advice promptly. unfortunately, the occ seems to disagree. read more →

tax season 2019 serves up a taste of the future

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“thirty percent of tax services will be obsolete in three years.”

robert hockensmith talks about tax season 2019 on local tv news in phoenix.

by 卡塔尔世界杯常规比赛时间 research

this year’s tax season is giving tax preparers a taste of the future—a future where tax returns are both simpler and more complex.

according to data streaming into the 卡塔尔世界杯常规比赛时间 busy season barometer survey, tax practitioners are just beginning to get a handle on the radical changes wrought by the tax cuts and jobs act—not just the technical changes to the tax code but the resulting changes to the business of tax preparation.

more: the biggest reason fraudsters run rings around the irs  | the big free-file flop | the demise of schedule a? | refunds still up, but only by 0.7% | survey: busy season goes sour | tax refunds up 1.7% | lessons learned: how the federal shutdown hit busy season 2019 | tax refund fury roils busy season | taxpayer advocate slams congress over funding

goprocpa.comexclusively for pro members. log in here or 2022世界杯足球排名 today.

robert f. hockensmith, cpa, ea, in phoenix, ariz., and a website site notably named azmoneyguy.com, offers a variety of tax and non-tax services, sums it up thus: “thirty percent of tax preparation will be obsolete in three years. clients will want advice and tax resolution more than preparation for 50 percent of taxpayers. and only 50 percent of all tax returns will be prepared by professional tax preparers.”

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the biggest reason fraudsters run rings around the irs

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irs chases the wrong returns, delaying refunds, wasting resources.

by 卡塔尔世界杯常规比赛时间

let’s have a pity party! you’re invited.

let’s pity the internal revenue service for having to identify fraudulent tax returns and taxpayer identities.

more: the big free-file flop | the demise of schedule a? | refunds still up, but only by 0.7% | survey: busy season goes sour | tax refunds up 1.7% | lessons learned: how the federal shutdown hit busy season 2019 | tax refund fury roils busy season | taxpayer advocate slams congress over funding

goprocpa.comexclusively for pro members. log in here or 2022世界杯足球排名 today.

let’s pity the taxpayer whose tax return gets flagged as fraudulent—or her stolen identity that doesn’t.

and let’s pity the tax preparer stuck between the legitimate taxpayer and the fumbling, under-funded, well-intentioned bureaucracy of the irs. read more →

the irs free-file flop

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percentage of free file users by income demographics

fix it, or lose it.

by 卡塔尔世界杯常规比赛时间

can you believe that 70 percent of all u.s. taxpayers could be using free file, yet only 2.5 percent actually are? did we mention “free?”

more busy season: protect your clients’ assets  |  the demise of schedule a?   |  tammy’s tale of tax season tardiness   |  how effective project management makes your life easier   |  survey: busy season goes sour   |  when clients cash out: four smart financial moves   |  lessons learned: how the federal shutdown hit busy season 2019   |  the irs mess: taxpayer’s roadmap is a plumber’s nightmare  |  fixing the irs: tax professionals speak out   |  tax refund fury roils busy season

goprocpa.comexclusively for pro members. log in here or 2022世界杯足球排名 today.

the reasons are mostly a mystery, but we found five major problems and seven ways to improve the program. if all else fails, even it’s backers agree: give up.

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protect your clients’ assets

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digital visualization of a blue alarm clockget the plans locked down.

by anthony glomski

let’s look at ways to help your clients minimize taxes when they sell their business, to avoid leaving money on the table and to reduce concentration risk.

more on liquidity: even entrepreneurs must diversify | when clients cash out: four smart financial moves
goprocpa.comexclusively for pro members. log in here or 2022世界杯足球排名 today.

here we’ll take a closer look at two common missteps that business owners and their advisors make during the exit process – and how to avoid them.
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the demise of schedule a?

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join the survey. get the results.

“if you charge by the form, schedule a’s are almost obsolete.”

by 卡塔尔世界杯常规比赛时间 research

with the countdown clock running down toward april 15, many tax professionals’ early-season optimism is turning into frustration and anger, according to the 卡塔尔世界杯常规比赛时间 busy season barometer.

the latest readings from the tracking poll show:

  • only half as many professionals now predict “significant increases” in the number of clients, and who now expect a “significant decrease” has almost doubled.
  • the number of practitioners forecasting revenue gains has been cut in half.
  • the number expecting better profits than last year has been cut by a third.

what’s happening?

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when clients cash out: four smart financial moves

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how to put your clients in the best possible position.

by anthony glomski

there are over 28 million businesses in the united states today. while the odds of being highly successful remain long, many businesses that do succeed are often worth far more than their owners imagined.

goprocpa.comexclusively for pro members. log in here or 2022世界杯足球排名 today.

the main reason for that disconnect is that owners are laser-focused on growing their business; they’re not in the business of buying and selling businesses like investment bankers are.
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