Jan
05
2017

Bryan Cave’s Private Client Services Group Welcomes David Adler

Bryan Cave’s Private Client Services Group welcomes a new partner in our London office:

David Adler has joined us in the London office, and will be a member of the Private Client Group. David is a U.S. tax lawyer who advises international entities, individuals and intermediaries on planning that has a U.S. component. Along with core U.S. federal income, estate and gift tax advice, he provides a U.S. perspective on issues of wealth preservation and transfer, as well as on corporate governance and family succession for privately held businesses. He is also a highly experienced adviser on issues arising under the U.S. Foreign Account Tax Compliance Act (FATCA) and the OECD Common Reporting Standard. David is joining us from the London office of another large firm.

Written by in: General
Jan
03
2017

EO Update: e-News for Charities & Nonprofits

1.  Form 990-N e-Postcard page unavailable 12/26/16 to 1/6/17

The Annual Electronic Filing Requirement for Small Exempt Organizations — Form 990-N (e-Postcard) page will be down from December 26, 2016 at 11:59 a.m. until January 6, 2017 at 1:00 p.m. EST due to an annual planned maintenance. We apologize for this inconvenience.

2.  Tax Preparedness Series: Remember donations may cut tax bills

As tax filing season approaches, the IRS reminds taxpayers who give money or goods to a charity by December 31, 2016 that they may be able to claim a deduction on their 2016 federal income tax return and reduce their taxes.

3.  Helpful tax tips

Review these helpful tax tips.

Written by in: General
Aug
26
2016

Tax Exempt Government Entities

The IRS is seeking applicants for vacancies on the Advisory Committee on Tax Exempt and Government Entities (ACT). The committee provides advice and public input on the various areas of tax administration served by the Tax Exempt and Government Entities Division (TE/GE). Applications will be accepted through Sept. 26.

Written by in: General
Aug
09
2016

EO Update: e-News for Charities & Nonprofits

Watch this free webinar about the IRS Tax Calendar for Businesses and Self-Employed

When: August 24, 2016; 2 p.m. (EDT)

How: Register for this event. You will use the same link to attend the event.

Learn about tracking federal tax due dates on your computer or mobile device 

  • The online Tax Calendar
  • The Desktop Calendar Tool (IRS CalendarConnector)
  • The Mobile Calendar Tool (IRS CalendarConnector)
  • How to Subscribe/Download into Your Calendar
  • How to Obtain Calendar Reminders (RSS Feeds)

Please note that we won’t be offering Continuing Education Credit for this event.

Resource:

IRS Tax Calendar for Businesses and Self-Employed

View due dates and actions for each month. You can see all events or filter them by monthly depositor, semiweekly depositor, excise, or general event types. Visit this page on your Smartphone or tablet, so you can view the Online Calendar on your mobile device.

Written by in: General
Jul
11
2016

EO Update: e-News for Charities & Nonprofits

  1. New requirement for organizations intending to operate under Section 501(c)(4): Submit Form 8976
    New legislation enacted at the end of 2015 added section 506 to the Internal Revenue Code. Section 506 requires an organization to notify the IRS of its intent to operate as a section 501(c)(4) organization. The IRS has developed a new form – Form 8976 – that organizations should use to provide this notification. The Form 8976 may only be submitted electronically. The Form 8976 – Electronic Registration System allows organizations to complete the notification process, keeps account information current and enables organizations to receive secure, digital communications from the IRS. A user fee of $50 must be submitted to Pay.gov to complete your organization’s notification. You do not need special software to submit a notification. Learn more.
  2. User fee decreased for Form 1023-EZ
    On July 1 the user fee to process the Form 1023-EZ, Streamlined Application for Recognition of Exemption Under Section 501(c)(3) of the Internal Revenue Code, was decreased from $400 to $275 (see Rev. Proc. 2016-32). You must submit the fee through www.pay.gov when you file a 1023-EZ application. You can pay the fee directly from your bank account or by credit/debit card.
  3. EP and EO participating in 2016 IRS Nationwide Tax Forums
    Employee Plans and Exempt Organizations will participate in the 2016 IRS Nationwide Tax Forums in five cities starting in July. The forums offer three days of seminars and workshops featuring speakers from both the IRS and tax practitioner organizations. In addition to getting the latest tax information, tax professionals can earn continuing education credits for their attendance.

    Read article.

Written by in: General
May
17
2016

EO Update: e-News for Charities & Nonprofits

Some Form 990-N Electronic Filing System (e-Postcard) users may see error messages

The Form 990-N online filing system moved from Urban Institute to IRS.gov in February. While the new system has been successful, a very small percentage of users see site errors while registering or submitting the form. The IRS offers this advice:

  • Review the steps listed on How to File Form 990-N. Pay particular attention to the “text character” restrictions.
  • The Form 990-N (e-Postcard) User Guide will explain each step in the filing process.
  • If site errors are unresolved, call TE/GE Customer Account Services at 877-829-5500. A representative will gather your Form 990-N information for filing on your organization’s behalf.
  • Organizations will not be penalized for filing late if it was caused by website issues. Organizations should continue efforts to file, even if they are late.

For more on filing Form 990-N, see the Form 990-N page on IRS.gov. 


Don’t forget to register for the free webcast about Accumulated Sick and Vacation Pay Deferred to 403(b) or 457(b) Plans

When: June 2, 2016; 2 p.m. (Eastern)

How: Register for this event. You will use the same link to attend the event.

Learn about:

  • When is accumulated sick and vacation leave pay subject to Federal Employment Taxes
  • When can taxes be deferred and for how long?
  • What is an elective contribution?
Written by in: General
May
11
2016

EO Update: e-News for Charities & Nonprofits

  1. EP and EO participating in 2016 IRS Nationwide Tax Forums – Register Now
  2. Register for IRS May 12 webinar: Reporting Compensation on Form 990 and Form 990-EZ
  3. Register for IRS May 19 webinar: Understanding the Universal Availability Rules in a 403(b) Retirement Plan

1.  EP and EO participating in 2016 IRS Nationwide Tax Forums – Register Now

Employee Plans and Exempt Organizations will participate in the 2016 IRS Nationwide Tax Forums in five cities starting in July. The forums offer three days of seminars and workshops featuring speakers from both the IRS and tax practitioner organizations. In addition to getting the latest tax information, tax professionals can earn continuing education credits for their attendance.

Read article.


2.  Register for IRS May 12 webinar: Reporting Compensation on Form 990 and Form 990-EZ

1 p.m., ET

Learn about:

  • How to report compensation
  • How to complete Form 990 and Form 990-EZ
  • What has to be reported
  • Other compensation
  • Exceptions
  • Highest compensated employees

Register for this webinar.


3.  Register for IRS May 19 webinar: Understanding the Universal Availability Rules in a 403(b) Retirement Plan

2 p.m. ET

Learn about:

  • Basic universal availability rules
  • Treatment of adjunct faculty at universities
  • Treatment of part-time, seasonal, and temporary employees
  • The 20 hours per week and the 1,000 hours rules
  • Controlled group situations and concerns
  • Mayo ruling on medical residents and its impact
  • The required notice to employees each year
  • Ways to find, fix, and avoid universal availability errors

Register for this event. You’ll use the same link to attend the event.

Written by in: General
May
09
2016

EO Update: e-News for Charities & Nonprofits

  1. IRS Announcement 2016-17: Limited Penalty Relief for Filers of Form 1098-T, Tuition Statement
  2. Register for IRS May 12 webinar: Reporting Compensation on Form 990 and Form 990-EZ
  3. Register for IRS May 19 webinar: Understanding the Universal Availability Rules in a 403(b) Retirement Plan (more…)
Written by in: General
Apr
28
2016

IRS EO Update

Register for IRS May 12 webinar: Reporting compensation on Form 990 or Form 990-EZ

Don’t miss this event!

May 12, 1-2 p.m., ET

Learn about:

  • How to report compensation
  • How to complete Form 990 and Form 990-EZ
  • What has to be reported
  • Other compensation
  • Exceptions
  • Highest compensated employees

Register for this webinar.


Read IRS TE/GE “Issue Snapshots”

The IRS Tax Exempt and Government Entities (TE/GE) Knowledge Management team periodically issues research summaries called “Issue Snapshots” on tax-related issues for practitioners. They are posted on IRS.gov’s electronic reading room page under “Training and Reference Materials.” Bookmark and check the page often for helpful new materials.

Recent articles include:


IRS seeks volunteers for Taxpayer Advocacy Panel through May 16

The IRS seeks civic-minded volunteers to serve on the Taxpayer Advocacy Panel, a federal advisory committee that listens to taxpayers, identifies major taxpayer concerns, and makes recommendations for improving IRS service and customer satisfaction.

Written by in: General
Mar
08
2016

Treasury Green Book Proposals — Private Foundations

The Department of the Treasury has released the Treasury Green Book  for Fiscal Year 2017, which provides explanations of the President’s budget proposals.  One such proposal (remember…these are just proposals, not actual changes in the law) that may affect your estate planning, if passed, is found on page 240 of the Green Book and is re-printed here for your convenience:

REFORM EXCISE TAX BASED ON INVESTMENT INCOME OF PRIVATE FOUNDATIONS

Current Law

Private foundations that are exempt from Federal income tax generally are subject to a two percent excise tax on their net investment income. The excise tax rate is reduced to one percent in any year in which the foundation’s distributions for charitable purposes exceed the average level of the foundation’s charitable distributions over the five preceding taxable years (with certain adjustments). Private foundations that are not exempt from Federal income tax, including certain charitable trusts, must pay an excise tax equal to the excess (if any) of the sum of the excise tax on net investment income and the amount of the unrelated business income tax that would have been imposed if the foundation were tax exempt, over the income tax imposed on the foundation. Under current law, private nonoperating foundations generally are required to make annual distributions for charitable purposes equal to five percent of the fair market value of the foundation’s noncharitable use assets (with certain adjustments). The amount that a foundation is required to distribute annually for charitable purposes is reduced by the amount of the excise tax paid by the foundation.

Reasons for Change

The current “two-tier” structure of the excise tax on private foundation net investment income may discourage foundations from significantly increasing their charitable distributions in any particular year. An increase in a private foundation’s distributions in one year will increase the foundation’s five-year average percentage payout, making it more difficult for the foundation to qualify for the reduced one-percent excise tax rate in subsequent years. Because amounts paid by foundations in excise tax generally reduce the funds available for distribution to charitable beneficiaries, eliminating the “two-tier” structure of this excise tax would ensure that a private foundation’s grantees do not suffer adverse consequences if the foundation increases its grantmaking in a particular year to respond to charitable needs (for example, disaster relief). Such a change would also simplify both the calculation of the excise tax and charitable distribution planning for private foundations.

Proposal

The proposal would replace the two rates of tax on private foundations that are exempt from Federal income tax with a single tax rate of 1.35 percent. The tax on private foundations not exempt from Federal income tax would be equal to the excess (if any) of the sum of the 1.35- percent excise tax on net investment income and the amount of the unrelated business income tax that would have been imposed if the foundation were tax exempt, over the income tax imposed on the foundation. The special reduced excise tax rate available to tax-exempt private foundations that maintain their historic levels of charitable distributions would be repealed. The proposal would be effective for taxable years beginning after the date of enactment

Written by in: General

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