 |
|
We're working to keep you informed in a world that changes by the minute. If you have anything you'd like to share, or if we can help you in any way, please email Zach Donah or Larry Liuzzo. |
MassCPAs and U.S. Committee on Ways & Means Working to Address IRS Issues
|
Earlier this week, MassCPAs' Government Affairs team had a productive call with key staff members on the U.S. House Committee on Ways and Means to discuss the current customer service levels at the IRS and about the businesses that target CPAs and flood all IRS phone lines. We elaborated on your inability to connect with a live IRS representative and the additional pains and frustrations caused by the lack of service.
We look forward to our continued partnership with the Committee staff and Chairman Richie Neal on this important issue and to finding a solution that improves the customer service response rates at the IRS. We requested the Committee take immediate steps to provide short-term penalty relief for you and your clients, as recommended by the AICPA.
If you have been solicited by, or have subscribed to, businesses advertising reduced hold times for IRS services, please share your thoughts and concerns by emailing Zach Donah or Larry Liuzzo.
|
Massachusetts Pass-Through Entity Legislation Remains Unresolved
|
Governor Baker vetoed the legislation relative to the taxation of Pass-Through Entities (PTE) on August 3, and it is currently back before the House of Representatives. There has been no recent indication as to when the Legislature may move on this legislation, but we will keep you informed as we learn more.
To follow the history and progress of this legislation, click here.
|
Massachusetts DOR: Sales, Use, Meals, Room Occupancy Information
|
The following information was included in the Department of Revenue (DOR)’s September newsletter:
Extension for sales, use, meals, room occupancy taxes ending soon
Due dates for these taxes were extended for some taxpayers until November 1, 2021 for returns and payments were due March 20, 2020 – June 1, 2021. The extension applied to vendors or property operators with cumulative liability under $150,000 in the 12-month period ending February 29, 2020. Intermediaries were not included in the extension. Separately, penalties were waived for those with more than $150,000 of cumulative liability for the same time periods and tax types if filed and paid by November
1, 2021. Interest continues to accrue.
New return info required for sales, meals and room occupancy filers
A heads up that new reporting will be required in 2022. Taxpayers subject to the new advance payment rules for sales, meals and room occupancy taxes will be asked to report additional information on their returns – including any advance payment made and the amount of any calculated penalty. Sales tax filers will be asked to break down online sales versus in-store sales and meals tax filers will be asked to break down cash sales versus credit card sales. If not already keeping that information for
your business, now’s a good time to start since it will be required next year.
Please note:
MassCPAs' Government Affairs team is looking for input on the new advance payment rules. If you have clients who are impacted, please contact Zach Donah or Larry Liuzzo.
To subscribe to the newsletter, click here.
|
U.S. House Committee on Ways and Means Release Proposed Tax Changes
|
Last week, the House Committee on Ways and Means released a list of proposed tax changes to be included in the budget bill known as the “Build America Back Better” act.
The
Journal of Accountancy
highlighted several of the key tax provisions, which can be found here.
|
U.S. DOL to Conduct Audit Quality Assessment of 2020 Plan Year Filings
|
The Department of Labor (DOL) Employee Benefit Security Administration (EBSA) Office of the Chief Accountant (OCA) is planning to conduct a study to assess the quality of audit work performed by independent qualified public accountants (IQPAs) with respect to financial statement audits of employee benefit plans covered under the Employee Retirement Income Security Act of 1974 (ERISA) for the 2020 Form 5500 filing year (plan years beginning in 2020). This includes calendar year 2020 filings filed
on extension by October 15, 2021.
The DOL expects to take a year to conduct its analysis and then to issue a report, which is likely to be released sometime in 2023. The AICPA will assist members and other stakeholders through the process and be a source of information for the DOL.
The AICPA is developing resources about the upcoming EBP study that we’ll share with you as we learn more.
To read the AICPA alert with more information, click here.
|
DOR & IRS Updates
|
|
|
Guidance for Paycheck Protection Program (PPP)
|
|
|
 |
 |
 |
