ETAAC Submits Report to Congress
The Electronic Tax Administration Advisory Committee (ETAAC) has released its annual report to Congress, featuring recommendations focused on budget support for the IRS and e-filing enhancements. Their recommendations include providing the IRS with multi-year funding; removing impediments to e-filing with appropriate security features, consent, and acknowledgements; promoting the use of identity protection PIN through a national campaign; and working with states and software providers to improve Payroll and Information Returns. The full report can be accessed at the link.
IRS Nationwide Tax Forum Impending
The IRS Nationwide Tax Forum begins July 19, and the last day of full-access registration is July 14. The virtual event is being held over a five-week period ending August 18. Webinars will be livestreamed, and exhibitors from the Virtual Expo available for interaction during certain hours, with most content available 24 hours a day. Focus groups on a variety of subjects are available, and Forum attendance qualifies as continuing education credits for qualified professionals.
Time For a Paycheck Checkup?
With half the year behind us, it may be a good time for those earning a paycheck to do a “paycheck checkup” to avoid any disappointing tax-time surprises. Taxes are withheld from each paycheck and sent directly to the IRS, with the goal of having all taxes paid by the end of the year. To make sure your employer is withholding the proper amount of tax from your paycheck, employees may use the IRS’ convenient Withholding Estimator. To use the tool, you will need the most recent paystub from all jobs (and those of your spouse, if you file jointly), other income from side jobs or self-employment, and your most recent tax return. With this information, you may instruct your employer to increase or decrease your tax withholding and hopefully come out even at tax time.
Advance Child Tax Credit Payment Tools
The IRS and Treasury have unveiled an online Non-filer Sign-up tool to assist eligible families who don’t normally file tax returns to register for the monthly Child Tax Credit payments scheduled to begin July 15. The tool is an update of last year’s Non-filers tool which helped individuals claim Economic Impact Payments (EIPs). The tool will continue this work as well. Additionally, the IRS has also released a Child Tax Credit Eligibility Assistant tool to help families determine if they qualify for the payments and an Update Portal for monitoring and managing the payments. Finally, the IRS is also partnering with groups such as non-profit organizations, churches, and community groups in 12 cities to help identify any families who may have missed the many previous requests to register for EIPs or the Advance Child Tax Credit. Outreach events were held this past weekend and will be held next weekend in Atlanta; New York; Detroit; Houston; Los Angeles; Las Vegas; Miami; Milwaukee; Philadelphia; Phoenix; St. Louis; and Washington, DC.
IRS Data Book Released
The IRS has issued the Data Book for fiscal year 2020 (October 1, 2019 through September 30, 2020), detailing the agency’s activities and “important work that IRS employees accomplish on behalf of the public,” according to IRS Commissioner Chuck Rettig. The 2020 Data Book also describes the measures taken to protect the health and safety of taxpayers and IRS employees during the COVID-19 pandemic while implementing legislation such as the Coronavirus Aid, Relief, and Economic Security (CARES) Act, as well as carrying on their typical work of processing returns and making online tools to assist taxpayers.
ETAAC Annual Report
The Electronic Tax Administration Advisory Committee (ETAAC) has released its annual report (PDF) to Congress, featuring recommendations focused on preventing identity theft and refund fraud. Recommendations were made to Congress regarding the IRS budget, filing information returns, and federal data-sharing, while those made to the IRS dealt with electronic filing and cybersecurity. ETAAC members represent various segments of the tax community, from taxpayers to tax professionals, software developers, the financial industry and state and local governments.