etrent17/irs-articles huggingface dataset:
IR-2022-118, June 7, 2022
WASHINGTON — The Internal Revenue Service today said that a recent court decision upholds its long-standing position regarding abusive microcaptive insurance transactions. Taxpayers should be alert to these schemes, normally peddled by promoters, as they will ultimately cost them.
On May 12, 2022, in Reserve Mechanical Corp. v. CommissionerPDF, the United States Court of Appeals for the Tenth Circuit appropriately upheld the Internal Revenue Service's position on abusive microcaptive insurance transactions. The Tenth Circuit affirmed the Tax Court's decision holding that the taxpayer was not engaged in the insurance business and that the purported insurance premiums it received were therefore taxable. After the Tax Court decided in favor of the IRS in numerous cases involving microcaptives, Reserve Mechanical is the first appellate decision recognizing the IRS' position that these abusive transactions are shams.
The IRS encourages anyone considering entering a promoted microcaptive insurance transaction to first speak with a qualified, independent advisor. These transactions will result in serious economic loss to taxpayers, including the loss of deductions, required income inclusion and penalties. Taxpayers should understand that the IRS has asserted in many of these cases that the microcaptive insurance transactions lack economic substance and that when transactions are held to lack economic substance, then a 20% penalty (40% if undisclosed) will automatically apply, and it cannot be waived or reduced by the IRS or the courts.
Likewise, taxpayers who have already engaged in such a transaction should speak with a qualified independent tax advisor about their options. The IRS previously offered settlement opportunities for abusive microcaptive transactions, and for taxpayers who come forward seeking to resolve their case, the IRS will consider providing a resolution opportunity as appropriate.
The IRS and Department of Justice will use all available legal options to challenge improper attempts to avoid or evade U.S. income tax, regardless of how long it takes for these cases to wind their way through the courts. The IRS will also aggressively pursue penalties for all participants in these abusive transactions.
IR-2022-115, June 1, 2022
WASHINGTON — The Internal Revenue Service has extended the deadline to June 17 for accepting applications for the Tax Counseling for the Elderly (TCE) and Volunteer Income Tax Assistance (VITA) grant programs, which will allow some organizations to apply for annual funding for up to three years.
Grants.gov will continue accepting applications through June 17, 2022, for the TCE and VITA grant opportunities. Application packages and guidelines for 2022 are available on the IRS website.
The IRS, in the past year, awarded 34 TCE grantees $11 million and 300 VITA grantees $25 million. Last year, the two grant programs filed nearly 1.6 million returns nationwide.
The IRS established the TCE program in 1978 to provide tax counseling and return preparation to persons aged 60 or older and to give training and technical assistance to the volunteers who provide free federal income tax assistance within elderly communities across the nation. For more information on the TCE program, visit the IRS's TCE webpage.
The VITA Grant program was established in 2007 to supplement the VITA program created in 1969. VITA provides free tax filing assistance to underserved communities. The grant program enables VITA to extend these services to underserved populations in hardest-to-reach, urban and non-urban areas; increase the capacity of targeted taxpayers to file returns electronically; enhance training of volunteers and improve the accuracy rate of returns prepared at VITA sites.
More information on the VITA grant program is available at IRS VITA Grant Program.
IR-2022-142, July 20, 2022
WASHINGTON — The Internal Revenue Service today released a new five-year Strategic Plan that outlines its goals to improve taxpayer service and tax administration.
The IRS Strategic Plan FY2022-2026 will serve as a roadmap to help guide the agency's programs and operations. The plan will also help meet the changing needs of taxpayers and members of the tax community.
"Through the Strategic Plan, we want to share our priorities and how they shape the important work that takes place at the IRS, year in and year out, to help taxpayers," said IRS Commissioner Chuck Rettig. "We serve and interact with more Americans than nearly any other public or private organization. The IRS has undergone tremendous change over the last five years, and we continue to evolve to better serve the nation's taxpayers."
The Strategic Plan, developed with input from external partners as well as IRS employees, focuses on four goals that will help improve customer service:
Service – Provide quality and accessible services to enhance the taxpayer experience.
Enforcement – Enforce the tax law fairly and efficiently to increase voluntary compliance and narrow the tax gap.
People – Foster an inclusive, diverse and well-equipped workforce and strengthen relationships with our external partners.
Transformation – Transform IRS operations to become more resilient, agile and responsive to improve the taxpayer experience and narrow the tax gap.
As the IRS works to achieve these goals, it will continue to uphold taxpayer rights and enforce the tax code fairly to improve the taxpayer experience. Under the Taxpayer Bill of Rights, every taxpayer has fundamental rights of which they should be aware when dealing with the agency.
IR-2022-139, July 14, 2022
WASHINGTON — The IRS today issued a revised set of frequently asked questions for the 2021 Child Tax Credit. These frequently asked questions (FAQs) are released to the public in Fact Sheet 2022-32PDF, July 14, 2022.
The FAQ revisions are:
Topic B  — Eligibility for Advance Child Tax Credit Payments and the 2021 Child Tax Credit: removed question 7 and renumbered question 8.
More information about reliance is available.
IRS-FAQ
IR-2022-138, July 14, 2022
WASHINGTON — The Internal Revenue Service and the Federal Trade Commission will sponsor a free webinar designed to help everyone recognize and combat tax scams and tax-related identity theft.
The webinar will also explain how any individual taxpayer can receive an added layer of identity protection by applying for an Identity Protection Personal Identification Number (IP PIN) from the IRS.
The one-hour webinar will take place on Wednesday, July 20 at 2 p.m. Eastern Time. Open to all, the webinar will cover the following topics:
Common consumer and tax-related identity theft scams.
Methods for reporting and recovering from identity theft.
How identity thieves trick their victims into providing personally identifiable and financial information.
IRS's Identity Protection Personal Identification Number Program.
How to avoid unscrupulous tax return preparers.
Resources to protect against identity thieves.
How the Security Summit is working to protect taxpayers.
The webinar will be closed captioned and feature a question-and-answer session. To register for the webinar, visit the Internal Revenue Service Webinar Registration page on IRS.gov. For questions about the webinar, send an email to cl.sl.web.conference.team@irs.gov.
Whether attending the webinar or not, anyone can get more information about recognizing and combating tax-related ID theft at IRS.gov/identitytheft. To apply for an IP PIN or for more information about the Identity Protection Personal Identification Number program, visit IRS.gov/ippin.
IR-2022-136, July 12, 2022
WASHINGTON — The Internal Revenue Service, one of the largest single employers of professional accountants, is now hiring 470 revenue agents who will specialize in auditing or examining both individual and business taxpayers nationwide.
Known officially as Internal Revenue Agents, these positions are at grades 5-12 in the federal civil service system with a base pay ranging from $31,083 to $68,299.
New hires will join the agency's Small Business Self Employed (SB/SE) division, where they will combine talents in accounting and tax law to examine and determine the correct tax liability for a variety of both individual and business taxpayers, including sole proprietorships, small corporations, partnerships, and fiduciaries. They will also be responsible for identifying potential fraud, tax schemes and abusive tax shelters.
To qualify for one of these positions, an applicant must have a bachelor's or higher degree in accounting from an accredited college or university that includes:
At least 30 semester hours (45 quarter hours) in accounting, or
	 
24 semester hours in accounting and an additional 6 semester hours in related subjects such as business law, economics, statistical/quantitative methods, computerized accounting or financial systems, financial management or finance, or
	 
A combination of experience and education or a certificate as a Certified Public Accountant.
Throughout July, the IRS is holding a series of virtual information sessions for interested applicants. These sessions provide an overview of the position, benefits of working at the IRS, how to apply for the position, and a Q&A session. Here is the schedule:
July 14, 2022 – 3 p.m. ET
July 18, 2022 – 1 p.m. ET
July 21, 2022 – 3 p.m. ET
July 25, 2022 – 3 p.m. ET
To attend any of these events, register at USAJOBS - Events.
July 14 is the last day to register for all 32 webinars
IRS YouTube Video:
2022 IRS Nationwide Tax Forum
IR-2022-134, July 11, 2022
WASHINGTON — This Thursday, July 14, is the last day for tax professionals to register to attend the 2022 IRS Nationwide Tax Forum and have access to all 32 webinars — including a keynote address by IRS Commissioner Chuck Rettig, updates on tax law, cybersecurity, practitioner ethics and more.
The 2022 virtual event is being held over a five-week period from July 19 through August 18. Webinars will be livestreamed on Tuesdays, Wednesdays and Thursdays of each week. To guarantee access to a webinar, registration must be completed a minimum of three business days in advance. Participants who register after July 14 will not have access to the full lineup of webinars.
Participants are encouraged to view the Forum schedule and course descriptions to plan their experience.
For more information and to register, visit IRS Nationwide Tax Forum.
Tax Forum Virtual Expo
Included with their registration, attendees may also visit the Forum's Virtual Expo with dozens of exhibitors representing tax and business services, IRS association partners and key IRS offices and initiatives in the "IRS Zone."
The Expo will be staffed from noon-2 p.m. and 3-5 p.m. EDT every Tuesday, Wednesday and Thursday, permitting attendees to interact with exhibitors. However, registrants will have access to most Expo content 24 hours a day from for the entire length of the Forum.
Focus groups and digital product demos
As a special feature of the 2022 Forum, the IRS invites attendees to participate in one or more virtual focus groups. Focus groups are arranged around the following topics:
Improving the Taxpayer Experience and IRS Services
Improving the Taxpayer Experience and IRS Outreach
Tax Pro Account and Business Online Account
Digital Asset Transactions
Tax Treatment of Retirement Distributions
Affordable Care Act Forms
IRS Online Accounts
Responding to IRS Correspondence Audit Notices
Taxpayer civil rights: Are your clients receiving the services they need?
Online tools and resources for refundable credits: The past, the present, and the future
In addition to our focus groups, the Office of Online Services will conduct demonstrations of the IRS tax pro and individual online accounts.
Continuing Education (CE)
Attendance at any of the 2022 Nationwide Tax Forum webinars qualifies as continuing education (CE) for enrolled agents, certified public accountants, Annual Filing Season Program participants, California Tax Education Council (CTEC) participants and Certified Financial Planners (CFP).
Note: With four seminars this year presented in both English and Spanish, participants can earn up to 28 continuing education credits.
Attorneys: Please check with your state bar to determine whether participation in the IRS Nationwide Tax Forum seminars qualifies for continuing legal education credit.
Visit the CE and CFP Certification page for more information.
Registration information
For more information and to register online, visit IRS Nationwide Tax Forum.
IR-2022-150, August 15, 2022
WASHINGTON — The Internal Revenue Service today announced that interest rates will increase for the calendar quarter beginning October 1, 2022.
For individuals, the rate for overpayments and underpayments will be 6% per year, compounded daily, up from 5% for the quarter that began on July 1. Here is a complete list of the new rates:
6% for overpayments (5% for corporations). (payments made in excess of the amount owed)
3.5% for the portion of a corporate overpayment exceeding $10,000.
6% for underpayments. (taxes owed but not fully paid)
8% for large corporate underpayments. 
Under the Internal Revenue Code, the rate of interest is determined on a quarterly basis. For taxpayers other than corporations, the overpayment and underpayment rate is the federal short-term rate plus 3 percentage points.
Generally, for a corporation, the underpayment rate is the federal short-term rate plus 3 percentage points, and the overpayment rate is the federal short-term rate plus 2 percentage points. The rate for large corporate underpayments is the federal short-term rate plus 5 percentage points. The rate on the portion of a corporate overpayment of tax exceeding $10,000 for a taxable period is the federal short-term rate plus one-half (0.5) of a percentage point.
The interest rates announced today are computed from the federal short-term rate determined during July 2022.
Revenue Ruling 2022-15PDF, announcing the rates of interest, will appear in Internal Revenue Bulletin 2022-35, dated August 29, 2022.
IR-2022-146, August 8, 2022
WASHINGTON — The Internal Revenue Service today is reminding those who have registered, or are required to register, large trucks and buses that it's time to file Form 2290, Heavy Highway Vehicle Use Tax ReturnPDF. The IRS strongly encourages using e-file and filing before the payment deadline of August 31, 2022, for vehicles first used in July 2022.
Truckers that have a highway motor vehicle with a taxable gross weight of 55,000 pounds or more registered in their name must file Form 2290 and pay the tax. However, on vehicles they expect to use for 5,000 miles or less (7,500 for farm vehicles), they're required to file a return, but pay no tax. If the vehicle exceeds the mileage use limit during the tax period, the tax becomes due.
The filing deadline is not tied to the vehicle registration date. Taxpayers must file Form 2290 by the last day of the month following the month in which the taxpayer first used the vehicle on a public highway during the taxable period, regardless of the vehicle's registration renewal date.
Vehicles first used on a public highway during the month of July 2022 must file Form 2290 and pay the appropriate tax between July 1 and August 31. Any additional taxable vehicles placed on the road during any month other than July should be prorated for the months during which it was in service. IRS.gov has a table to help determine the filing deadline.
File and pay the easy way
Get the facts
Visit the Trucking Tax Center on IRS.gov/trucker.
Review the Frequently Asked Questions for Truckers who e-file (also available in Spanish).
Use "Do I Need to Pay the Heavy Highway Vehicle Use Tax?" online tool if unsure about filing.
Gather the required information
Vehicle Identification Number(s).
Employer Identification Number (EIN) – not a Social Security number. It can take about four weeks to establish a new EIN. See How to Apply for an EIN.
Taxable gross weight of each vehicle.
Filing options
All Form 2290 filers are encouraged to e-file, a list of IRS-approved e-file providers is on IRS.gov.
E-file is required when reporting 25 or more vehicles on Form 2290.
A watermarked Schedule 1 is sent within minutes after acceptance of an e-filed return.
If filing by mail, ensure that the correct mailing address is used.
Mail filers will receive their stamped Schedule 1 within 6 weeks after the IRS receives the form.
Payment options
Credit or debit card or digital wallet is an option.
E-filing makes paying with electronic funds withdrawal an easy part of the process.
Electronic Federal Tax Payment System requires advanced enrollment.
Mailed in check or money order payments using Form 2290-V, Payment Voucher, mailed to: Internal Revenue Service, P.O. Box 932500, Louisville, KY 40293-2500.
More information:
IRS YouTube Video: Truckers: Mark Your Calendars To File Form 2290.
"Understanding Form 2290 – Heavy Highway Vehicle Use Tax".
Frequently Asked Questions for Indian Tribal Governments Regarding Highway Use Tax.
IRS Form 2290 call center, available weekdays between 8 a.m. and 6 p.m. Eastern time. From within the U.S., 866-699-4096 (toll-free), from Canada or Mexico, 859-320-3581 (not toll-free).
IR-2022-169, September 30, 2022
WASHINGTON — The Internal Revenue Service, in response to disruptions resulting from Hurricane Ian, will not impose a penalty when dyed diesel fuel with a sulfur content that does not exceed 15 parts-per-million is sold for use or used by emergency vehicles on the highway in the state of Florida.
This relief begins on September 28, 2022, and will remain in effect through October 19, 2022.
This penalty relief is available to any person that sells or uses dyed diesel fuel in an emergency vehicle for highway use. In the case of the operator of the emergency vehicle in which the dyed diesel fuel is used, the relief is available only if the operator or the person selling such fuel pays the tax of 24.4 cents per gallon that is normally applied to diesel fuel for highway use.
The IRS will not impose penalties for failure to make semimonthly deposits of tax for dyed diesel fuel sold for use or used in an emergency vehicle on the highway in the state of Florida during the relief period. IRS Publication 510, Excise Taxes, has information on the proper method for reporting and paying the tax.
Ordinarily, dyed diesel fuel is not taxed, because it is sold for uses exempt from excise tax, such as to farmers for farming purposes, for home heating use, and to local governments.
The IRS is closely monitoring the situation and will provide additional relief as needed.
IR-2022-166, September 28, 2022
WASHINGTON — The Internal Revenue Service is reminding farmers and ranchers in applicable regions forced to sell livestock because of drought conditions that they may have more time to replace their livestock and defer tax on any gains from the forced sales.
Today, the IRS posted Notice 2022-43PDF listing the applicable regions, a county or other jurisdiction, designated as eligible for federal assistance on IRS.gov. This includes 44 states, two U.S. Territories and two independent nations in a Compact of Free Association with the United States. The relief generally applies to capital gains realized by eligible farmers and ranchers on sales of livestock held for draft, dairy or breeding purposes. Sales of other livestock, such as those raised for slaughter or held for sporting purposes, or poultry, are not eligible.
The sales must be solely due to drought, causing an area to be designated as eligible for federal assistance. Livestock generally must be replaced within a four-year period, instead of the usual two-year period. The IRS is authorized to further extend this replacement period if the drought continues.
The one-year extension, announced in the notice, gives eligible farmers and ranchers until the end of their first tax year after the first drought-free year to replace the sold livestock. Details, including an example of how this provision works, can be found in Notice 2006-82.
The IRS provides this extension to eligible farmers and ranchers that qualified for the four-year replacement period, if the applicable region is listed as suffering exceptional, extreme or severe drought conditions during any week between September 1, 2021, and August 31, 2022. This determination is made by the National Drought Mitigation Center.
As a result, eligible farmers and ranchers whose drought-sale replacement period was scheduled to expire on December 31, 2022, in most cases now have until the end of their next tax year to replace the sold livestock. Because the normal drought-sale replacement period is four years, this extension impacts drought sales that occurred during 2018. The replacement periods for some drought sales before 2018 are also affected due to previous drought-related extensions affecting some of these localities.
More information on reporting drought sales and other farm-related tax issues can be found in Publication 225, Farmer's Tax Guide, available on IRS.gov.
IR-2022-165, September 28, 2022
WASHINGTON — The Internal Revenue Service today updated its frequently-asked-questions (FAQs) (FS-2022-36) on Coronavirus State and Local Fiscal Recovery Funds (SLFR Funds). These funds give eligible state and local governments a substantial infusion of resources to meet pandemic response needs.
This update adds Question 15 through 17.
These FAQs are being issued to provide general information to taxpayers and tax professionals as expeditiously as possible.
More information about reliance is available.
IRS-FAQ
IR-2022-159, September 19, 2022
WASHINGTON — The IRS today updated information on the Work Opportunity Tax Credit (WOTC), available to employers that hire designated categories of workers who face significant barriers to employment. For employers facing a tight job market, the WOTC may be able to help.
Today's updates include information on the pre-screening and certification process. To satisfy the requirement to pre-screen a job applicant, on or before the day a job offer is made, a pre-screening notice (Form 8850, Pre-Screening Notice and Certification Request for the Work Opportunity Credit) must be completed by the job applicant and the employer.
The Targeted Jobs Tax Credit (TJTC), which preceded WOTC, did not contain a pre-screening requirement. In enacting WOTC to replace the TJTC in 1996, Congress included the requirement that employers pre-screen job applicants before or on the same day the job offer is made. In doing so, Congress emphasized that the WOTC is designed to incentivize the hiring and employment of certain categories of workers.
After pre-screening a job applicant, the employer must then request certification by submitting Form 8850 to the appropriate state workforce agency no later than 28 days after the employee begins work. Other requirements and further details can be found in the instructionsPDF to Form 8850.
WOTC has 10 designated categories of workers. The 10 categories are:
Qualified IV-A Temporary Assistance for Needy Families (TANF) recipients
Certain veterans, including unemployed or disabled veterans
The formerly incarcerated or those previously convicted of a felony
Designated community residents living in Empowerment Zones or Rural Renewal Counties
Vocational rehabilitation referrals
Summer youth employees living in Empowerment Zones
Food stamp (SNAP) recipients
Supplemental Security Income (SSI) recipients
Long-term family assistance recipients
Qualified long-term unemployment recipients.
Although the credit generally is not available to tax-exempt organizations, a special provision allows them to claim the WOTC against the employer's share of Social Security tax for hiring qualified veterans. These organizations claim the credit on Form 5884-C, Work Opportunity Credit for Qualified Tax-Exempt Organizations Hiring Qualified Veterans. Visit the WOTC page for more information.
IR-2022-158, September 15, 2022
WASHINGTON — The Internal Revenue Service announced today the opening of the application period for the 2023 Compliance Assurance Process (CAP) program. The application period runs from September 15 to November 15, 2022 . The IRS will inform applicants if they're accepted into the program in February 2023.
Launched in 2005, CAP employs real-time issue resolution, through transparent and cooperative interaction between taxpayers and the IRS, to improve federal tax compliance by resolving issues prior to the filing of a tax return.
To be eligible to apply for CAP, new applicants must:
Have assets of $10 million or more,
Be a U.S. publicly traded corporation with a legal requirement to prepare and submit SEC Forms 10-K, 10-Q, and 8-K, and
Not be under investigation by, or in litigation with, any government agency that would limit the IRS's access to current tax records.
To be eligible to participate in CAP, taxpayers must adhere to CAP program limits on the number of open years.
General program information and the 2023 application details are available on the CAP webpage.
IR-2022-189, October 24, 2022
WASHINGTON — The Internal Revenue Service reminds taxpayers earning income from selling goods and/or providing services that they may receive Form 1099-K, Payment Card and Third-Party Network Transactions, for payment card transactions and third-party payment network transactions of more than $600 for the year.
There is no change to the taxability of income; the only change is to the reporting rules for Form 1099-K. As before, income, including from part-time work, side jobs or the sale of goods, is still taxable. Taxpayers must report all income on their tax return unless it is excluded by law, whether they receive a Form 1099-NEC, Nonemployee Compensation; Form 1099-K; or any other information return.
The IRS emphasizes that money received through third-party payment applications from friends and relatives as personal gifts or reimbursements for personal expenses is not taxable.
The American Rescue Plan Act of 2021 (ARPA) lowered the reporting threshold for third-party networks that process payments for those doing business. Prior to 2022, Form 1099-K was issued for third party payment network transactions only if the total number of transactions exceeded 200 for the year and the aggregate amount of these transactions exceeded $20,000. Now a single transaction exceeding $600 can trigger a 1099-K.
The lower information reporting threshold and the summary of income on Form 1099-K enables taxpayers to more easily track the amounts received.
Generally, greater income reporting accuracy by taxpayers also lowers the need and likelihood of later examination.
Consider making estimated tax payments
Income taxes must generally be paid as taxpayers earn or receive income throughout the year, either through withholding or estimated tax payments.
If the amount of income tax withheld from one's salary or pension is not enough, or if they receive other types of income, such as interest, dividends, alimony, self-employment income, capital gains, prizes and awards, they may have to make estimated tax payments.
If they are in business for themselves, individuals generally need to make estimated tax payments. Estimated tax payments are used to pay not only income tax, but other taxes as well, such as self-employment tax and alternative minimum tax.
Publication 17, Your Federal Income Tax (For Individuals), provides general rules to help taxpayers pay the income taxes they owe.
Additional helpful information is available in Chapter 5, Business Income, of Publication 334, Tax Guide for Small Business; Publication 525, Taxable and Nontaxable Income and on IRS.gov at Understanding Your Form 1099-K.
Form 1099-K, its instructions and a set of answers to frequently asked questions are available on IRS.gov.
IR-2022-186, October 20, 2022
WASHINGTON — The Internal Revenue Service today urged taxpayers to check their tax withholding while there's time left in 2022 to benefit from any necessary changes.
An adjustment made now will help people avoid a big surprise, such as a big refund or a balance due, at tax time in 2023.
Life brings constant changes to individual financial situations. Events like marriage, divorce, new tax law, a new child or home purchase can all be reasons to adjust withholding.
Tax Withholding Estimator
The Tax Withholding Estimator, also available in Spanish, can help people determine if they have too much income tax withheld and how to make an adjustment to put more cash into their own pocket. In other cases, it can help taxpayers see that they should withhold more or make an estimated tax payment to avoid a tax bill when they file their tax return next year.
The tool offers workers, retirees, self-employed individuals and other taxpayers a user-friendly, step-by-step tool for effectively tailoring the amount of income tax they should have withheld from wages and pension payments based on their complete set of facts and circumstances.
Pay as you go
Taxes are generally paid throughout the year whether from salary withholding, quarterly estimated tax payments or a combination of both. About 70% of taxpayers, however, withhold too much every year. This typically results in a refund. The average refund in 2022 is just under $3,000.
A few other facts about refunds:
Taxpayers do not have to get one. Proper withholding adjustments help people boost take home pay rather than be over withheld and get it back as a tax refund.
While most are issued in 21 days or less from an error-free and paperless tax return, many take longer for different reasons.
Taxpayers are advised not to rely on a refund for big purchases.
Direct Deposit is the easiest and most convenient way to get a refund. More than 90% of all refunds are issued this way.
Paper return processing delays stemming from the pandemic are six months or more. The IRS COVID-19 operations page offers complete details.
Other items may affect 2022 taxes
Some unforeseen life events can be a trigger to make withholding adjustments. They include:
Coronavirus tax relief. Tax help for taxpayers, businesses, tax-exempt organizations and others – including health plans – affected by the coronavirus (COVID-19).
Disasters such as wildfires and hurricanes. Special tax law provisions may help taxpayers and businesses recover financially from the impact of a disaster, especially when the federal government declares their location a major disaster area.
Job loss. IRS Publication 4128, Tax Impact of Job LossPDF explains how this unfortunate circumstance can create new tax issues.
Workers moving into the gig economy due to the pandemic. The IRS advises people earning income in the gig economy to consider estimated tax payments to avoid a balance due or penalties when they file.
For more information about estimated taxes and tax withholding, see Tax Withholding at IRS.gov.
IR-2022-185, October 19, 2022
WASHINGTON — The Internal Revenue Service reminds taxpayers in areas covered by certain Federal Emergency Management Agency (FEMA) disaster declarations they may have more time to file their returns to qualify for the penalty relief under Notice 2022-36 for their 2019 and 2020 tax returns.
Under Notice 2022-36, penalties for late-filing certain tax returns, as well as penalties for not reporting certain required information on the Form 1065 or Form 1120-S, are waived or abated if the relevant return was filed on or before September 30, 2022. But individuals and households that reside or have a business in recently declared FEMA disaster areas have postponed deadlines to file the return to get this relief, as noted below.
Areas with a deadline of November 15, 2022, include:

	Counties in Missouri identified under FEMA's Major Disaster Declaration 4665.
Counties in Kentucky identified under FEMA's Major Disaster Declaration 4633.
The island of St. Croix in the U.S. Virgin Islands.
Members of the Tribal Nation of the Salt River Pima Maricopa Indian Community.

Areas with a deadline of February 15, 2023, include:

	Florida,
Puerto Rico,
North Carolina,
South Carolina,
Areas in Alaska identified under FEMA's Major Disaster Declaration 4672 and
Hinds County, Mississippi.

The relief under Notice 2022-36 applies to the failure-to-file penalty that is typically assessed at a rate of 5% per month, up to 25% of the unpaid tax when a federal income tax return is filed late. This relief applies to forms in both the Form 1040 and 1120 series, as well as others listed in Notice 2022-36, posted on IRS.gov.
Unlike the failure-to-file penalty, the failure-to-pay penalty and interest will still apply to any unpaid tax. The failure-to-pay penalty is normally 0.5% (one-half-of-one percent) per month, up to 25%. The interest rate is currently 6%, compounded daily.
Penalty relief for 2019 and 2020 returns is not available in some situations, such as where a fraudulent return was filed, where the penalties are part of an accepted offer in compromise or a closing agreement, or where the penalties were finally determined by a court. This relief is limited to the penalties that the notice specifically states are eligible for relief. For ineligible penalties, such as the failure-to-pay penalty, taxpayers may use existing penalty relief procedures, such as applying for relief under the reasonable cause criteria or the First Time Abate program. Visit IRS.gov/penaltyrelief for details.
Different relief applies to 2021 returns. Visit the disaster relief page on IRS.gov for more information about tax year 2021.
More information:
IR-2022-175, IRS: Don't miss this important Oct. 17 tax extension deadline
IR-2022-163, Reminder: File 2019 and 2020 returns by Sept. 30 to get COVID penalty relief
IR-2022-184, October 19, 2022
WASHINGTON — The Internal Revenue Service today reminded employers to file the next quarterly payroll tax return by the approaching October 31, 2022, due date, and urged them to do so electronically.
While paper filing is available, the IRS strongly encourages e-filing. E-filing is the most secure, accurate method to file returns and saves taxpayers' time.
E-filing is easy with auto-populating forms and schedules with a step-by-step process that performs calculations for the employer.
The IRS acknowledges receipt of e-filed returns within 24 hours, giving taxpayers reassurance that their return was not misplaced or lost in the mail. E-file users also receive missing information alerts.
Two options to electronically file payroll tax returns
Employers can choose to self-file by purchasing IRS-approved software that meets their specific needs. There may be a fee to electronically file returns through the software, and the software will require a signature to e-file the returns.
Depending on the software they choose, taxpayers will have one or both of the following options:
Apply for an online signature PIN
Scan and attach Form 8453-EMP, Employment Tax Declaration for an IRS e-file Return, for the required signature.
The second option for employers is to hire a tax professional to prepare and file their employment tax returns. Taxpayers can use the Authorized IRS e-file Provider Locator Service to find a tax professional who can file on behalf of the business.
For more information on electronic filing of payroll tax returns, see the E-file Employment Tax Forms page.
Tax relief in disaster situations
Employers can find information on the most recent tax relief provisions for taxpayers affected by disaster situations on IRS.gov. See FAQs for Disaster Victims for information about the definition of an affected taxpayer.
IRS News from Around the Nation provides IRS news specific to local areas, primarily disaster relief or tax provisions that affect certain states.
IR-2022-180, October 17, 2022
WASHINGTON — The Internal Revenue Service announced its continued support by joining international efforts to fight fraud during Charity Fraud Awareness Week, October 17-21.
The IRS partners in this effort as part of its ongoing commitment to fight fraud against charities, businesses and individuals. It's estimated that charitable organizations will lose 5% of their revenue each year to fraud, according to the Fraud Advisory Panel, a UK-based organization leading the effort by organizing this week of awareness. Experts say cybercrime is on the rise, including attacks on charities, their supporters and beneficiaries.
Charities, regulators, agencies, law enforcement and other not-for-profit stakeholders around the world are working together to raise awareness about fraud and cybercrime that affects charities. These efforts resulted in seven days when supporters actively discuss fraud, share best practices and offer helpful resources.
How to verify a charity
"We'd like to thank the Fraud Advisory Panel for reminding donors to remain vigilant," said IRS Director of Exempt Organizations & Government Entities Rob Malone. "Unfortunately, natural disasters, like Hurricane Ian, provide an opportunity for charity scammers to take advantage of genuine efforts to help. I urge donors to verify a charity's tax-exempt status at Tax Exempt Organization Search before donating goods, services or money."
Fake Charities
In addition to cybercrime targeting charities, criminals who create fake charities are also a problem. Fake charities are part of the IRS's Dirty Dozen tax scams for 2022. As noted above, taxpayers should verify legitimate and qualified charities using the Tax Exempt Organization Search tool on IRS.gov. Donors should never feel pressured to give immediately.
Links to more information
A special website was created for Charity Fraud Awareness Week and features information to help partners, charities and other tax-exempt organizations and non-profits find:
Details about the awareness week
Free resources
A fraud pledge for organizations
A listing of webinars and other events
Those encouraged to participate in the week's activities include:
Trustees, staff and volunteers from charities, non-government organizations and non-profits
Organizations that represent the interests of non-profits
Accountants, auditors and those acting as professional advisors to non-profits
Regulators, law enforcement officials and policymakers working to safeguard non-profits
Visit the Fraud Advisory Panel website to learn more about Charity Fraud Awareness Week and how to get involved.
IR-2022-177, October 11, 2022
WASHINGTON — The Internal Revenue Service, in response to continued disruptions resulting from Hurricane Ian, will not impose a penalty when dyed diesel fuel with a sulfur content that does not exceed 15 parts-per-million is sold for use or used on the highway in the state of Florida. This penalty relief expands previously issued penalty relief that applied only to emergency vehicles.
This relief is retroactive to September 28, 2022 and will remain in effect through October 19, 2022.
This penalty relief is available to any person that sells or uses dyed diesel fuel for highway use. In the case of the operator of the vehicle in which the dyed diesel fuel is used, the relief is available only if the operator or the person selling such fuel pays the tax of 24.4 cents per gallon that is normally applied to diesel fuel for highway use.
The IRS will not impose penalties for failure to make semimonthly deposits of tax for dyed diesel fuel sold for use or used in diesel powered vehicles on the highway in the state of Florida during the relief period. IRS Publication 510, Excise Taxes, has information on the proper method for reporting and paying the tax.
Ordinarily, dyed diesel fuel is not taxed, because it is sold for uses exempt from excise tax, such as to farmers for farming purposes, for home heating use, and to local governments.
The IRS is closely monitoring the situation and will provide additional relief as needed.
IR-2022-176, October 11, 2022
WASHINGTON — Those who may have missed the 2022 IRS Nationwide Tax Forum now have a second chance to view the seminars and earn continuing education credit through the 2022 Nationwide Tax Forums Online.
The online version of the forum consists of 18 new self-study seminars that use interactive videos, PowerPoint slides and transcripts to educate tax professionals. This year, the online version includes four Spanish-language seminars.
The 2022 Nationwide Tax Forums Online includes the following seminars:
IRS Commissioner Chuck Rettig’s Keynote Address
Tax Law Changes for Tax Year 2022 — in English and Spanish
Professional Responsibility Obligations (ethics) — in English and Spanish
Tax Treatment of Digital Assets
Tax-Exempt Organizations Update
Emerging Cyber Crimes — in English and Spanish
The Nationwide Tax Forums Online is registered as a qualified sponsor of continuing education with the IRS Return Preparer Office and the National Association of State Boards of Accountancy. For a fee, CPAs, Enrolled Agents and Annual Filing Season Program participants can earn continuing education credit.
The online forum seminars can also be reviewed for free. Individuals who choose to review (or audit) the seminars will not receive continuing education credit.
In addition to the newly added 2022 seminars, numerous seminars from prior IRS Tax Forums are also available.
For more information and to access the seminars, visit IRS Nationwide Tax Forums Online.
Updated October 13, 2022: Filers affected by certain natural disasters have their FBAR due date further extended.
IR-2022-174, October 6, 2022
WASHINGTON – The Internal Revenue Service today reminds U.S. citizens, resident aliens and domestic legal entities that the extension deadline to file their annual Report of Foreign Bank and Financial Accounts (FBAR) is October 15. For additional information about filing deadlines, filers should look to Financial Crimes Enforcement Network's (FinCEN)PDF website.
Filers who missed the April 15 annual due date earlier this year received an automatic extension until October 15, 2022, to file the FBAR. They did not need to request the extension. 
Filers affected by a natural disaster may have their FBAR due date further extended. Its important filers review relevant FBAR Relief Notices for complete information.  On October 6, 2022, FinCEN announced that victims of Hurricane Fiona in Puerto Rico; Hurricane Ian in Florida, North Carolina, and South Carolina; and storms and floods in parts of Alaska have until February 15, 2023, to file FBARs for the 2021 calendar year.
Who needs to file?
The Bank Secrecy Act requires U.S. persons to file an FBAR if:
They have a financial interest in or signature or other authority over one or more accounts, such as a bank account, brokerage account, mutual fund or other financial account located outside the United States, and
The aggregate value of all foreign financial accounts exceeds $10,000 at any time during the calendar year 2021.
Because of this threshold, the IRS encourages U.S. persons with foreign accounts, even relatively small ones, to check if this filing requirement applies to them. A U.S. person is a citizen or resident of the United States or a domestic legal entity such as a partnership, corporation, limited liability company, estate or trust.
How to file
Filers do not file the FBAR with their federal income tax return. The 2021 FBAR must be filed electronically with FinCEN and is only available through the BSA E-Filing System website. Individuals who are unable to e-file their FBAR must contact FinCEN at 800-949-2732 or FRC@fincen.gov to request an alternative filing method. Callers from outside the U.S. can contact the helpline at 703-905-3975.
Avoid penalties
Those who don't file an accurate FBAR when required may be subject to significant civil and criminal penalties that can result in a fine and/or imprisonment, depending on the facts and circumstances.
FBAR resources on IRS.gov:
Report of Foreign Bank and Financial Accounts (FBAR)
Details on reporting foreign bank and financial accounts (FS-2022-24)
Publication 5569, Report of Foreign Bank & Financial Accounts (FBAR) Reference GuidePDF
IR-2022-172, October 5, 2022
WASHINGTON — The Internal Revenue Service today issued six notices asking for comments on different aspects of extensions and enhancements of energy tax benefits in the Inflation Reduction Act.
The IRS anticipates that constructive comments from interested parties will aid the agency in drafting the guidance items most reflective of the needs of taxpayers entitled to claim energy credits.
Notice 2022-46PDF requests comments on credits for clean vehicles.
Notice 2022-47PDF requests comments on energy security tax credits for manufacturing.
Notice 2022-48PDF requests comments on incentive provisions for improving the energy efficiency of residential and commercial buildings.
Notice 2022-49PDF requests comments on certain energy generation incentives.
Notice 2022-50PDF requests comments on elective payment of applicable credits and transfer of certain credits.
Notice 2022-51PDF requests comments on prevailing wage, apprenticeship, domestic content, and energy communities requirements.
The IRS is requesting that those interested in providing feedback to the questions in the notices follow the instructions in the notices to reply by November 4, 2022.
IR-2022-171, October 4, 2022
WASHINGTON — The Internal Revenue Service recently awarded $41 million in Tax Counseling for the Elderly (TCE) and Volunteer Income Tax Assistance (VITA) grants to organizations that provide free federal tax return preparation.
This year, the IRS awarded grants to 39 TCE and 309 VITA applicantsPDF. The IRS received 413 applications requesting over $56 million in funding.
The TCE program, established in 1978, provides free tax counseling and federal return preparation to individuals who are age 60 or older. Volunteers receive training and technical support to provide assistance at community locations across the nation.
The VITA program, created in 1969, assists underserved communities, such as low- to moderate-income individuals and limited English proficient taxpayers. VITA grant recipients provide free federal tax return preparation and electronic filing. The grant program also helps expand VITA services to underserved populations.
The IRS forms partnerships with a wide variety of organizations across the country to develop VITA and TCE programs. Community partners include nonprofit agencies, faith-based organizations, community centers and large employers. The IRS provides tax law training, certification and oversight to these organizations, supporting their efforts to prepare accurate returns.
For information on applying for the TCE or VITA grant programs, along with a list of current grant recipients, visit Tax Counseling for the Elderly or the IRS VITA Grant Program. For details on becoming a TCE or VITA volunteer, visit IRS Tax Volunteers.