Tax Alerts

IRS Emphasizes Digital Asset Income Reporting Obligation, IR-2024-18

The IRS has reminded taxpayers to report digital asset income on 2023 federal tax returns, with an updated question now on Forms 1040, Individual Income Tax Return; 1040-SR, U.S. Tax Return for Seniors; and 1040-NR, U.S. Nonresident Alien Income Tax Return, as well as additional forms like 1041, U.S. Income Tax Return for Estates and Trusts 1041, U.S. Income Tax Return for Estates and Trusts ; 1065,U.S. Return of Partnership Income ; 1120, U.S. Corporation Income Tax Return ; and 1120-S, U.S. Income Tax Return for an S Corporation.

The IRS has mandated, that taxpayers filing Forms 1040, 1040-SR, 1040-NR, 1041, 1065, 1120 and 1120S must respond to the digital asset question with either ‘Yes’ or ‘No’, applicable to all, regardless of transaction involvement in 2023. In addition, taxpayers must disclose all income from digital asset transactions, utilizing relevant forms such as Form 8949, Sales and other Dispositions of Capital Assets and Schedule D (Form 1040), Capital Gains and Losses for capital gains/losses, Form 709, United States Gift (and Generation-Skipping Transfer) Tax Return for gifted assets, and Schedule C (Form 1040), Profit or Loss from Business (Sole Proprietorship) for reporting wages or independent contractor earnings received in digital assets.

Taxpayers are required to check the “Yes” box if they received digital assets as payment for property or services, obtained them through rewards, mining, staking, or a hard fork, disposed of digital assets, sold or traded them, or had any other financial interest in a digital asset. Conversely, those who solely owned digital assets in 2023 without engaging in transactions can check “No.” Additionally, individuals can select “No” if their activities were confined to holding digital assets, transferring them between their own wallets or accounts, or purchasing them using U.S. or other real currency, including electronic platforms. Additional information can be found on the IRS Digital assets page.

FL - Solid mineral tax rates for 2024 announced

Florida has released the severance tax rates on the production of heavy minerals and other solid minerals for 2024. From […]

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FL - Solid mineral tax rates for 2024 announced

IRS Provides Waiver for Taxpayers Failing to Meet Foreign Earned Income Requirements, Rev. Proc. 2024-17

The IRS has provided a waiver for any individual who failed to meet the foreign earned income or deduction eligibility requirements of Code Sec. 911(d)(1) because adverse conditions in a foreign country […]

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IRS Provides Waiver for Taxpayers Failing to Meet Foreign Earned Income Requirements, Rev. Proc. 2024-17

ERC Compliance Efforts Top $1 Billion in Six Months, IR-2024-78

The IRS announced that compliance efforts around erroneous Employee Retention Credit (ERC) claims have topped more than $1 billion within six months. “We are encouraged by the results so far of […]

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ERC Compliance Efforts Top $1 Billion in Six Months, IR-2024-78

IRS Provides Guidance on Replacement of Certain Lead Service Lines, Announcement 2024-10

The IRS has announced the federal income tax treatment of certain lead service line replacement programs for residential property owners. It is required by the federal and many […]

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IRS Provides Guidance on Replacement of Certain Lead Service Lines, Announcement 2024-10

IRS Releases Guidance on Form 1099-K, FS-2024-7; IR-2024-5

The IRS has released guidance to help taxpayers understand what to do with Form 1099-K. Responding to feedback from taxpayers, tax professionals and payment processors, […]

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IRS Releases Guidance on Form 1099-K, FS-2024-7; IR-2024-5

Treasury Department's AI-Powered Fraud Detection Yields $375 Million Recovery

The Treasury Department‘s Office of Payment Integrity (OPI) deployed Artificial Intelligence(AI)-based fraud detection at the onset of Fiscal Year 2023, resulting in the recovery of over $375 million. […]

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Treasury Department's AI-Powered Fraud Detection Yields $375 Million Recovery

FL - Senate approves IRC conformity changes

The Florida Senate approved a tax bill that changes the corporate income tax IRC conformity tie-in date. H.B. 7073, as […]

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FL - Senate approves IRC conformity changes

FL - House passes bill that modifies IRC conformity date

Florida House of Representatives passed a bill with a provision that modifies the IRC conformity tie-in date for determining corporate […]

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FL - House passes bill that modifies IRC conformity date

FinCEN Issues Guidance on Inflation Adjustments to Civil Monetary Penalties

The Financial Crimes Enforcement Network (FinCEN) issued guidance on inflation adjustments to its civil monetary penalties as mandated by the Federal Civil Penalties Inflation Adjustment Act of 1990 (the Act), as amended. This rule […]

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FinCEN Issues Guidance on Inflation Adjustments to Civil Monetary Penalties

FL - IRC conformity update, disability employment credit proposed

Legislation introduced in the Florida House of Representatives proposes to: update the IRC conformity tie-in date for determining corporate income […]

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FL - IRC conformity update, disability employment credit proposed