Latest tax news

Here are some of the latest tax news updates:

Individual Tax

  1. Tax Filing Deadline Extended: The IRS has extended the tax filing deadline for individuals to May 17, 2022, due to the COVID-19 pandemic.
  2. Child Tax Credit: The IRS has announced that the Child Tax Credit will be increased to $3,600 for children under 6 and $3,000 for children between 6 and 17 for the 2022 tax year.
  3. Earned Income Tax Credit (EITC): The IRS has announced that the EITC will be increased for the 2022 tax year, with maximum credits ranging from $538 to $6,728.

Business Tax

  1. Pass-Through Deduction: The IRS has issued final regulations on the pass-through deduction, which allows businesses to deduct up to 20% of qualified business income.
  2. Section 179 Expensing: The IRS has increased the Section 179 expensing limit to $1.08 million for 2022, allowing businesses to deduct the full cost of qualified property.
  3. Work Opportunity Tax Credit (WOTC): The IRS has extended the WOTC program, which provides tax credits to businesses that hire and train employees from certain target groups.

International Tax

  1. Global Intangible Low-Taxed Income (GILTI): The IRS has issued final regulations on GILTI, which taxes foreign-sourced income of U.S. multinational corporations.
  2. Foreign-Derived Intangible Income (FDII): The IRS has issued final regulations on FDII, which allows U.S. corporations to deduct a portion of their foreign-derived intangible income.
  3. Base Erosion and Anti-Abuse Tax (BEAT): The IRS has issued final regulations on BEAT, which taxes certain large corporations on their base erosion and anti-abuse tax.

Tax Reform

  1. Tax Cuts and Jobs Act (TCJA): The IRS has issued final regulations on various provisions of the TCJA, including the qualified business income deduction and the limitation on state and local tax (SALT) deductions.
  2. Tax Reform 2.0: The House Ways and Means Committee has introduced a package of tax reform bills, including a bill to make the TCJA's individual tax cuts permanent.

Other Tax News

  1. Cryptocurrency Tax: The IRS has issued guidance on the tax treatment of cryptocurrency, including the requirement to report capital gains and losses on Form 1040.
  2. Tax-Exempt Organizations: The IRS has issued guidance on the tax-exempt status of organizations that engage in political activities.
  3. Tax Audits: The IRS has announced plans to increase tax audits and enforcement efforts, including a focus on high-income individuals and businesses.

These are just a few of the latest tax news updates. It's always a good idea to consult with a tax professional or financial advisor to ensure you're in compliance with the latest tax laws and regulations.