The IRS has issued guidance for how employer designated Roth contributions should be reported.
Under the Notice of Proposed Rulemaking, transfers to a legal entity, including a TRUST, corporation, partnership, limited partnership or limited liability company, of residential real estate of up to four units and unimproved land zoned for occupancy by one to four families that don't involve financing through a financial institution would have to be reported on a Real Estate Report to FinCEN within 30 days or a sale or transfer, and copies kept by the reporting person and other parties for five years.
Businesses that have service income from customers located outside of their state of residence should be alert they may be taxable in another state without having any physical presence, property, or employees in the state. For businesses located in California that are sole proprietorships, this is an even more serious problem.
The threshold for reporting payments for any payee during 2023 is increased from $600, regardless of the total number of transactions, to $20,000 AND more than 200 transactions.
The California Franchise Tax Board announced the evening of October 16, 2023 it is following the IRS by adopting a November 16, 2023 due date for 2022 income tax returns and payments for taxpayers who previously qualified for the October 16, 2023 due date. The relief applies to 55 of 58 California counties.
For residents of 55 of California's 58 counties that previously qualified for extended filing relief, the IRS has announced TODAY the tax-filing and tax-payment deadline has been further extended to November 16, 2023.
The IRS has announced an immediate moratorium, at least through the end of 2023, for processing new claims for the employee retention credit.
FinCEN has issued proposed regulations extending the due date for new entities created during 2024 to 90 days after creation. After 2024, the 30-day deadline will apply.
The IRS has announced a two-year administrative transition period for catch-up contributions to a qualified retirement plan (including a Section 401(k) plan) by highly compensated employees, permitting them to continue to be made on a pre-tax basis for taxable years beginning before January 1, 2026.
The Federal government will require a new report for small businesses, called the Beneficial Ownership Information Report under the Corporate Transparency Act, effective January 1, 2024.