New tax form is indeed smaller, but filing is no simpler

The Trump administration may deliver on its promise to reduce a commonly used tax form to postcard size, but it does not shrink the workload for many Americans filling out their taxes. A draft copy of the new 1040 income tax form given to The Associated Press by a staffer on the Ways & Means Committee shows that the form will be reduced from two full pages to a double-sided half page.

Trump choice to head IRS says he’ll work for all taxpayers

Under sharp questioning from some Democratic senators, President Donald Trump's choice to head the IRS promised on Thursday to work for the benefit of ordinary taxpayers in administering the massive new tax law. Charles Rettig is a Beverly Hills tax lawyer who has represented thousands of individuals and companies in civil and criminal tax matters before the agency and against it in court.

Ponzi Fraudster SentencedA California man was recently sentenced to a …

In July 2008, special agents from the FBI Sacramento Field Office executed a search warrant at the residence of a suspect and interviewed other individuals in connection with a mortgage fraud investigation. In addition to finding evidence for their own case, investigators uncovered ties to what appeared to be a separate mortgage fraud scheme, and FBI Sacramento opened another case, working in partnership with the Internal Revenue Service Criminal Investigation.

Utah solar lens scheme a ‘massive fraud,’ judge says

A group of related companies involving the same pair of men in Utah can no longer say its solar lenses are eligible for energy tax credits after a federal judge issued a narrow injunction on Friday. International Automated Systems, RaPower3 and Xsun Energy must pull any promotional material from the company websites if it purports tax benefits from lens purchases and also must post a notice from the U.S. District Court for Utah that any tax information on the solar lenses is false.

ND Republican’s Senate campaign ‘fact-checking’ website…

"Heitkamp's talk of deficits is pure speculation and none of it takes into account the economic growth the Trump pro-growth agenda is delivering." - statement on the website Get the Facts ND, June 4, 2018 One pernicious response to the growth of political fact-checking is the trend by politicians to create their own faux fact-checking websites.

IRS Issues Notice on Payments Made in Exchange for State and Local Tax Credits

On May 23, 2018, the Department of the Treasury and the Internal Revenue Service issued Notice 2018-54, stating that proposed regulations will be issued addressing the deductibility of certain payments made by taxpayers to state-operated charitable funds and entities in exchange for a partial credit against their state and local tax liability. The notice provides no actual guidance except to remind taxpayers that federal law controls the characterization of such payments for federal income tax purposes, regardless of their tax treatment under state law.

RPT-Tax-dodge strategists probe loopholes in new U.S. law, IRS wary

Tax experts for global corporations are hot on the trail of loopholes in the sweeping tax law approved in December by President Donald Trump and Republicans in the U.S. Congress. Barely five months since it took effect, the law is already yielding potential tax-dodge gimmicks, from revising cross-border payments to substituting bank loans for internal debt.
Posted in Tax

Dueling press releases

Today, the Champaign News-Gazette published an editorial criticizing JB Pritzker and Mike Madigan for failing to release specifics on their graduated income tax hike. The News-Gazette forecasted that raising the overall rate from 4.95 to 5.95 seems likely, which would mean a 20 percent income tax hike on every single hardworking taxpayer in Illinois.

Minnesota Legislature tests governor’s resolve with tax bill

Republicans who control the Minnesota Legislature are testing Gov. Mark Dayton's resolve with a bill that syncs Minnesota taxes with the federal overhaul. The House passed the bill Tuesday on a 78-50 vote despite the Democratic governor's promise that he would block that legislation until lawmakers provide emergency funding for public schools.