Issue Number: 2014-41
Inside This Issue
- e-Services Columbus Day Outage
- IRS Realigning Compliance Operations
- Business E-File Jumps 10 Percent in 2014
- IRS Simplifies Procedures for Favorable Tax Treatment on Canadian Retirement Plans
- YouTube: Indoor Tanning Services Excise Tax
- Webinar Available: Business Use of Your Home
- Technical Guidance
1. e-Services Columbus Day Outage
An e-Services outage will occur over the Columbus Day weekend beginning at 5:00 p.m. EDT on Saturday, Oct. 11 and ending at approximately 5:00 a.m. EDT on Tuesday, Oct. 14 to ensure critical systems are ready for the upcoming 2015 filing season. Given the Oct. 15 extension filing deadline, it’s important to note the IRS Modernized e-File (MeF) system is scheduled to be back online at 5:00 am on Tuesday, Oct. 14. The IRS emphasizes that there is a perfection period (after a rejection of an e-filed return) of five days (Oct. 20) for individual master file returns and 10 days for business master file returns. The combination of the Oct. 14 opening and the perfection period should minimize impact on taxpayers and tax professionals. e-Services outage dates and times are posted on IRS.Gov.
2. IRS Realigning Compliance Operations
Starting Oct. 20, the IRS is realigning its tax compliance operations serving individual and small business taxpayers. Realigning core business operations in the Wage and Investment (W&I) and Small Business/Self-Employed (SBSE) divisions is expected to increase efficiency. W&I will focus primarily on pre-refund compliance and SB/SE on post-filing compliance.
3. Business E-File Jumps 10 Percent in 2014
Business e-file rose nearly 10 percent this year, continuing the growth that has seen the number of corporate and partnership returns filed electronically double in just four years. An additional 600,000 corporations and partnerships e-filed their tax returns this year.
4. IRS Simplifies Procedures for Favorable Tax Treatment on Canadian Retirement Plans and Annual Reporting Requirements
The Internal Revenue Service just made it easier for taxpayers who hold interests in either of two popular Canadian retirement plans to get favorable U.S. tax treatment and took additional steps to simplify procedures for U.S. taxpayers with these plans.
5. YouTube: Indoor Tanning Services Excise Tax
A new YouTube video explains the Basics of the Indoor Tanning Services Excise Tax.
The Indoor Tanning Services Tax Center has more information.
6. Webinar Available: Business Use of Your Home
Practitioners who missed the recent IRS webinar on Business Use of Your Home can now view it online.
7. Technical Guidance
Notice 2014-58 amplifies Notice 2010-62, 2010-40 I.R.B. 411, by providing additional guidance regarding the codification of the economic substance doctrine and the related penalties.
Notice 2014-61 provides guidance on the federal tax treatment of per capita payments that members of Indian tribes receive from proceeds of certain settlements of tribal trust cases between the United States and those tribes.
Notice 2014-62 provides guidance on the corporate bond monthly yield curve, the corresponding spot segment rates, and the 24-month average segment rates. In addition, this notice provides guidance as to the interest rate on 30-year Treasury securities under Section 417(e)(3)(A)(ii)(II) as in effect for plan years beginning before 2008 and the 30-year Treasury weighted average rate under Section 431(c)(6)(E)(ii)(I). The rates in this notice reflect the application of Section 430(h)(2)(C)(iv), which was added by the Moving Ahead for Progress in the 21st Century Act, Public Law 112-141 (MAP-21) and amended by section 2003 of the Highway and Transportation Funding Act of 2014, Public Law 113-159 (HATFA).
If you have a specific concern about your client’s tax situation, call the IRS Practitioner Priority Service 1-866-860-4259.
