Attorney Audits

New guidelines for audits of attorneys have just been released by the IRS.  It focuses on several potential problem areas unique to attorneys and specifies how audits should be conducted in the context of those. Many of the particulars of attorney audits revolve around how attorneys are paid (noncash payments like stock or legal services…

Gang of Six Tax Reform

A new plan has emerged in Washington in the context of debate over raising the debt ceiling, the legal limit of how much the federal government can borrow.  Lawmakers have proposed several plans that, in addition to raising the debt ceiling, try to address the country’s growing deficit.  Many of theses have ended up bogged down in partisan…

Nexus

The recent debate over the so-called “Amazon tax”, while obviously about what its name would suggest, mainly the power of states to tax online retailers like Amazon, is really a debate about nexus.  Nexus means all the connections between a taxpayer, whether a person or a corporation, and a political jurisdiction–a state in this case.…

Taxes for non-residents

The tax landscape in Illinois has changed over the last few months.  Income taxes for individuals and for corporations have increased, and the newly passed affiliate tax (otherwise known as the “Amazon Tax”) has added a new set of rules to consider.  This has gotten people wondering if it wouldn’t make sense to change the…

One step closer to 1099 repeal

Two laws passed during the last Congress, the Patient Protection and Affordable Care Act and the Small Business Jobs Act of 2010 expanded or increased the reporting requirements for Form 1099, a form used to report income paid to contractors.  Last month the House passed H.R. 4, a bill that would repeal both sets of increased requirements.…