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The climate biz altogether 50; do not extend them; when partners do not commit; and other highlights from our favorite tax bloggers.

Too much money

  • TaxProf Blog ( Favorite opening of the week: “There’s too much money in American politics, and too much money comes from too few citizens.” A new approach argues that by changing our tax system from an income tax to a progressive expenditure tax, the real cost of political spending by mega-donors could increase tenfold.
  • Institute on Taxation and Economic Policy ( The Treasury Department recently announced that it would begin research to examine certain tax policies through a racial equity lens. How this is good news for researchers and advocates to “fight for a fair and just tax code.”
  • Taxation ( Cities offer a first glimpse of how governments are advancing racial equity. They have made many explicit commitments to advancing equity, but are much further along in thinking about focusing equity strategies on expenditure rather than income.
  • Taxable conversation ( The Tax Foundation’s recent list of the business tax climate in all 50 states shows that little has changed since the last report, “and for those in New York, New Jersey and California who wonder why the companies are moving to Florida and Nevada, you just need to look in the mirror.
  • Taxpro Center ( Companies in many industries are shifting to value-based pricing and subscription models, and consulting services are a natural fit for this transition. Here is an overview of the pricing models.
  • HBK ( Whichever way you slice it, US penalties are heavy for undeclared foreign financial accounts.

new tricks

  • Tax foundation ( This is the season when “an eclectic bunch” of temporary fiscal policies approach their expiration dates, but at the last minute they usually hitch a ride on some must-have legislation for another temporary extension. Not this year.
  • Boyum and Barenscheer ( Yes, it has taken years for the IRS to issue guidelines related to cryptocurrency or virtual currency – but a flood of guidelines have been issued and enforcement has increased dramatically.
  • National Association of Tax Professionals ( In this week’s “You Make the Call,” George is a single taxpayer who holds virtual currency investments and is curious about the tax implications of his two hard forks and an airdrop transaction during the year. . The first hard fork results in the creation of 60 units of a new virtual currency, which are airdropped into George’s account. He immediately gains dominance and control of the dropped units. The new units have a fair market value of $350 per unit at airdrop and a FMV of $100 per unit at year end. The second hard fork results in the creation of 20 units of virtual currency, without airdrop. The units have a FMV of $100 per unit at the time of the hard fork and a FMV of $150 per unit at the end of the year. Does George have any taxable income resulting from these transactions, and what is his basis in the units received?
  • sikich ( An overview of IRS revisions to Form 1024, “Application for Recognition of Exemption Under Section 501(a)”, allowing tax-exempt organizations to submit the form electronically. This will be the first year that applicants will be able to file electronically.
  • Mutilated again ( You can’t teach an old tax preparer new tricks, but you can teach him old ones.

Kindness Mugs

  • tax jar ( Ever Brought to Mind Dept.: A look at sales tax rate changes in 18 states for the new year.
  • Solutions for CPA firm leaders ( When it comes to professional progress and advancement of staff members, why some stubborn partners still don’t want to be stuck.
  • Turbotax ( Something to remind them of the end-of-year retirement advice.
  • TaxMama ( General filing advice before returning to the calendar – and what they can expect for filing documents in early 2022.
  • tax warriors ( Woo hoo, they are already working remotely, so why can’t they also work remotely from a vacation home? Tax jurisdictions might like to do this – and here is a discussion of dual residency and double taxation.