In December 2020, the United States Tax Court will be launching DAWSON (Docket Access Within a Secure Online Network), the Court’s new case management system. The Court expects DAWSON to be active no later than December 28, 2020. Beginning at 5:00 PM Eastern Time on November 20, 2020, the current e-filing system will become inaccessible... Read More

If you or your business are doing business in California, you are subject to California tax laws. The CDTFA or FTB may audit your business or issue a demand that the taxpayer file a tax return. The state of California considers you to be “doing business” if you meet any of the following: Engage in... Read More

Many taxpayers wonder if they should file an FTB claim for refund. A claim for refund is a request for reimbursement of amounts that you have previously paid. Generally, if you have paid your balance in full you will file a formal claim. If you have not paid your balance in full, you will file an informal... Read More

The CDTFA has an array of penalties that they can assess against taxpayers. There are penalties that can result from CDTFA audits or in other situations. The reasons for interest and penalty charges vary. For example, you may be assessed interest and penalty charges if you:• File a late return and/or make a late payment.•... Read More

Purpose of Form IRS Form 5471 is used by certain U.S. persons who are officers, directors, orshareholders in certain foreign corporations. Moreover, the form and schedules are used to satisfy the reporting requirements of sections 6038 and 6046, and the related regulations, as well as to report amounts related to section 965. Who Must File... Read More

Sometimes EDD auditors will mail this form to businesses when there is a question about the worker classification status of a worker or class of workers. This form is to be used by the EDD to make a determination as to whether a worker is an employee for purposes of California Unemployment Insurance, Employment Training... Read More

Taxpayers often need to determine whether their California residency status. A resident is defined as any individual who meets any of the following:• Present in California for other than a temporary or transitory purpose.• Domiciled in California, but outside California for a temporary or transitory purpose. A nonresident is defined as any individual who is... Read More

An offer in compromise allows you to settle your tax debt for less than the full amount you owe. It may be a legitimate option if you can’t pay your full tax liability, or doing so creates a financial hardship. Furthermore, the IRS will consider your unique set of facts and circumstances: Ability to pay;... Read More

Generally, rental activities are passive activities even if you materially participated in them. However, if you qualified as a real estate professional, rental real estate activities in which you materially participated aren’t passive activities. For this purpose, each interest you have in a rental real estate activity is a separate activity, unless you choose to... Read More

IR-2020-220, September 23, 2020 WASHINGTON — During Small Business Week, September 22-24, the Internal Revenue Service wants individuals to consider taking the home office deduction if they qualify. The benefit may allow taxpayers working from home to deduct certain expenses on their tax return. The home office deduction is available to qualifying self-employed taxpayers, independent contractors... Read More