States’ SALT pushback; taxes and the Golden Globes; coining a new investing phrase; and other highlights from our favorite tax bloggers.
Complicate, complicate, complicate
- Tax Vox (http://taxvox.taxpolicycenter.org): For an act that was supposed to simplify, simplify, simplify, the Tax Cuts and Jobs Act sure comes with its share of complexity. Among one of the thicker patches of woods is the special deduction for income earned by pass-through businesses.
- Tax Foundation (http://taxfoundation.org/blog): Several states are exploring strategies to preserve the full SALT for high-income residents, capped at $10,000 under the new federal tax law. How successful will they be?
- Mauled Again (http://mauledagain.blogspot.com/): In the scope of billions in tax cuts for corporations, how big a drizzle are those $1,000-per-employee bonuses? And how many companies will stick a crowbar to consumers to pay for the bonuses? At least, as this entry points out, we’re being “given the opportunity to see through the charade.” Also, “What Losing Federal Personal and Dependency Exemptions Does to Michigan (and Other) Taxpayers.”
- Rubin on Tax (http://rubinontax.floridatax.com): I feel your chain: How the new act changes rate indexing and other Tax Code indexing from the former Consumer Price Index idea to the new “chained CPI,” an adjustment to CPI that reduces the inflation rate by “attempting to factor in human behavior that when prices rise, some consumers will look for less expensive substitute products, so that the overall inflation is lower than it would first appear when measured by actual spending.”
- TaxProf (http://taxprof.typepad.com/taxprof_blog/): Eight tax profs look at the full federal deduction for charitable contributions resulting in state tax credit.
- A Taxing Matter (http://ataxingmatter.blogs.com/tax/): “Remember how Trump sold the Republicans’ $1.5 trillion-deficit-creating tax cut plan as a boon for the middle class that was going to create jobs and raise wages?” The list of tax bloggers who call this sheep dip continues … .
- The Wandering Tax Pro (http://wanderingtaxpro.blogspot.com/): For pure refreshment, let’s look at what the GOP Tax Act actually does simplify.
Better never than late
- Avalara (https://www.avalara.com/blog/): The constitutionality, enforceability and validity of Ohio’s new reporting requirements for remote retailers are under fire for potentially exceeding the limitations on state authority to regulate interstate commerce and discriminating against e-commerce. And Ohio isn’t the only state …
- Houston Tax Blog (http://www.irstaxtrouble.com/category/tax-blog/): Woulda coulda shoulda meets wishful thinking: Rafizadeah v. Commissioner examines how the IRS made a late assessment of tax and penalties, and may help in analyzing other cases involving IRS assessments based on past conduct pre-dating a change in the law.
- Bloomberg BNA (http://www.bna.com/news/#!topic=istax&type=isblogpost): Texas is one state that categorizes sales of mobile voice and data services as the sale of Internet access services and telecommunication services, not the sale of an intangible asset. As a result, the Texas Comptroller of Public Accounts has ruled that sales receipts are apportioned to Texas when the receipts are earned from providing access to the Internet in Texas or when telecommunications services are performed in Texas.
- Federal Tax Crimes (http://federaltaxcrimes.blogspot.com/): A pair of interesting points of United States v. Wrubleski: testimony from an IRS attorney who had handled a prior Tax Court case brought by Wrubleski, and a holding on admission of co-conspirator testimony.
- Don’t Mess With Taxes (http://dontmesswithtaxes.typepad.com/): Skimpy dresses and intentionally crooked bow ties on the red carpet are one thing, but let’s look at some tax connections regarding the Golden Globes.
- Mahany Law (http://www.mahanyertl.com/mahanyertl/): The North American Securities Administrators Association issues its first warning to investors for 2018, on cryptocurrency investments and initial coin offerings (a.k.a. ICOs). Also, flying unfriendly skies with Boeing, and network technology giant Ciena Corp. misses its earnings projections and many readers miss other huge news about the company.
- H&R Block (https://www.hrblock.com/tax-center/): And while we’re on the subject, “What Is Cryptocurrency?” attempts to answer the simple, yet for some investors increasingly critical, question.
Mark your calendars
- Turbotax (http://Blog.turbotax.intuit.com): When the IRS will begin accepting e-filed returns (Monday, Jan. 29) and some interesting nuggets about last year’s refunds.
- Taxjar (http://blog.taxjar.com/): A list of all sales tax holidays in 2018, state by state.
- Tax Musings of a Burbank CPA (http://briantstonercpa.com/blog/#sthash.OkfGp9NM.dpbs): Important federal dates for filing of 2017 returns.
- The Income Tax School (http://www.theincometaxschool.com/blog/): All the questions about running your own prep practice often come down to one factor: “How to Price Your Tax Preparation Services.” What to bear in mind, from your experience to other prices your prospects could pay.
- Tax Girl (http://blogs.forbes.com/kellyphillipserb): Should your biz client incorporate to save money under reform? “There is no one-size-fits-all answer to this question — ” tell us about it! “ — but here are some general guidelines…”
- TaxBuzz (https://www.taxbuzz.com/blog): A chat with tax experts and others with opinions on how reform will affect tax planning and future finances, especially for small businesses (including tax prep).
- Boyum & Barenscheer (http://www.boybarcpa.com/blog): Business owners put off strategic planning for many reasons — one of the biggest being that “strategic planning is a time-sucking luxury” diverting attention from challenges that are immediate (and therefore somehow more important to the business). How to punch this self-deluding fog with your biz clients.
- Liberty Tax (https://www.libertytax.com/tax-lounge/): What to tell them about various kinds of mileage logs.