New York State Nonresident Audit Guidelines

A New York State resident taxpayer is responsible for reporting and paying New York State personal income tax on income from ALL sources regardless of where the income is generated, or the nature of the income. A nonresident taxpayer is given the opportunity to allocate income, reporting to New York State only that income actually […]

Ohio Use Tax Amnesty Program

The amnesty program begins October 1, 2011 and ends May 1, 2013. WHAT IS CONSUMER’S USE TAX? Consumer’s use tax must be paid on all taxable purchases of tangible personal property or services used, stored or otherwise consumed in Ohio unless Ohio sales tax has been paid to a vendor or the tax has been […]

B notice Q&A

Publication 1281 What is a “B” Notice? AA… A “B” Notice is a backup withholding notice. There are two “B” Notices — the First “B” Notice and the Second “B” Notice. You must send the First “B” Notice and a Form W-9 to a payee after you receive the first CP2100 or CP2100A Notice with […]

Backup Withholding for Missing and Incorrect Name/TIN(s) Publication 1281

Publication 1281 What payments are subject to backup withholding? a) Rents and commissions, non-employee compensation for services, royalties, reportable gross proceeds paid to attorneys and other fixed or determinable gains, profits, or income payments reportable on Form 1099-MISC, Miscellaneous Income. b) Interest reportable on Form 1099-INT, Interest Income. c) Dividends reportable on Form 1099-DIV, Dividends […]

IRS return preparer test specificatons

IRS return preparer test specificatons – August 31, 2011 Registered Tax Return Preparer (RTRP) test will focus on the ethical responsibilities of federal tax return preparers and the completion of Form 1040 series along with the basic related schedules and forms. The test specifications provided below are intended to provide guidance on the content of […]

New Voluntary Worker Classification Settlement Program

The Internal Revenue Service launched a new program that will enable many employers to resolve past worker classification issues and achieve certainty under the tax law at a low cost by voluntarily reclassifying their workers. This new program will allow employers the opportunity to get into compliance by making a minimal payment covering past payroll […]