Federal Tax Update Podcast

This week we look at:

• IRS ends COVID-19 relief for high deductible health plans effective for plan years ending after 12/31/24
• Taxpayer fails in attempt to get IRS permission to make a late §475(f) mark to market election
• Taxpayer who filed Tax Court petition 11 seconds too late due to technology challenges has petition dismissed
• Sherlock Holmes on tax research

This week we look at

• OIRA is no longer going to review IRS regulations before issuance

• IRS updates list of automatic accounting method changes

• Proposed regulations issued on transfers of certain energy credits and DirectPay for certain credits

• What can go wrong with an employee retention credit refund claim?

This week we look at:

• 3 proposed tax bills introduced by Chair of House Ways & Means Committee
• Wellness indemnification payment is taxable income to employee and subject to payroll taxes
• IRS grants request to make election to skip claiming bonus depreciation when partnership discovers claiming bonus is bad news at the state level for certain partners

This week we look at:

• Fourth Circuit does not agree with view expressed by Seventh Circuit in Menard, Inc. that C corporation reasonable compensation only depends on a reasonable return to investors
• Eleventh Circuit holds that “hobby loss” expenses under §183 are miscellaneous itemized deductions
• Elderly attorney had reasonable cause for failure to file payroll tax returns and timely pay payroll tax liabilities