Here is a periodical update from WATAX veterans on IRS and State collection trends and tax compliance enforcement.
Request for Corporate returns - After a long break of tax filing enforcement, we are seeing correspondence/requests from the IRS for non filers of Corporate 1120 and 1120s returns.
Revenue Officer appointments pick up on big balance dues - Local IRS agents are picking up new cases in their inventory. It should be mentioned that they are NOT carrying guns and are even prohibited to make unannounced visits now in spite of really bad media takes that they would. However, if you and your representative don't comply, you will experience bank, accounts receivable or wage levies.
Beneficial Ownership Reporting (BOI) underway - Previously formed entities, LLCS and corps, have until the end of 2024 to let FINCEN know the actual owners of your entity. If you set up a new entity, you have 90 days to submit the BOI. It remains to be seen if BOI reporting could launch tax filing enforcement on unfiled LLCs.
2020 Stimulus Sunsets on May 17th, 2024 - If you were hoping to grab that $1800 offered to most individuals below 75k (single) and 150k (married joint) for 2020 tax year, you must have your paper 1040 post-marked before or on May 17, 2024.
California FTB collections picks up - If you live or lived in California and owe back taxes, FTB or Franchise Tax Board, is starting to levy on people who don't respond to correspondence. California is one of the few states that will cross state lines by issuing a levy (which requires a court order in the state they levy in).
