All posts by: KWBerkower

BEA uses surveys to collect data about US owned business activities in other countries. The statistical results measure the direct investment abroad and the effects on the US economy and are researchable on the BEA website.

-FBAR is a FinCEN form (Financial Crimes Enforcement Network)

-Filing due date is the same as the return filing due date.

The Inflation Reduction Act of 2022 included complex changes to the credit for electric vehicle. Listed below are some aspects for those who have or will purchase an electric vehicle: Final assembly in North America – a list of which vehicle qualifies can be found through the VIN decoder at https://www.nhtsa.gov/vin-decoder Effective 1/1/23 the manufacturer […]

The Inflation Reduction Act increased the tax credit cap from $250,000 to $500,000 beginning in 2023. The credit is elected on the 2023 tax return to offset eligible research and development expenses as a payroll tax offset for the first quarter payroll in 2024 with any excess carried to subsequent payroll quarters. The research and […]

To modernize and clarify foreign tax credits, the IRS issued lengthy and imitating final regulations that changes the type of taxes applicable for the foreign tax credit. Some key areas of note are highlighted below: To qualify as a foreign income tax, there are now four components: Realization Gross receipts Net income Attribution based on […]

The Internal Revenue Service recently updated its FBAR Reference Guide wherein some clarifications were provided: A US person is not just an individual. It includes corporations, partnerships, limited liability companies and estates. A financial account includes checking and savings accounts, securities accounts, commodity futures or option accounts, mutual or pooled funds, and more. Cryptocurrency reporting […]

April 1, 2022 is the last day for taxpayers who turned 72 in 2021 to begin taking required minimum distributions (RMD) from a retirement account or plan. RMD rules apply to traditional SEP and SIMPLE IRAs, 401(k), 403(b) and 457(b) but not Roth IRA and only after you stopped working.

The American Rescue Plan Act that passed in March 2021, lowered the reporting threshold for Form 1099K for third-party settlement organizations (TPSOs) for transactions settled after 12/31/2021.

In 2011, the U.S. introduced an international asset reporting Form 8938 to ensure that US taxpayers located anywhere would report their foreign assets, accounts, investments, and income.

New Cryptocurrency Tax Reporting Requirements Effective after December 31, 2023 The recently passed Infrastructure Act includes two amendments to the Internal Revenue Code that will make it easier for the IRS to identify and attribute cryptocurrency transactions to taxpayers.  First, the definition of a broker that is required to file information returns is expanded now […]