The Social Security Administration has released its list of the most popular baby names in the U.S. for 2023, with Liam and Olivia on top again. Parents need Social Security numbers for their babies to claim tax breaks, including the EITC, child tax credit, and HOH status. Thieves use stolen Social Security numbers for tax fraud, prompting the IRS to warn about scams targeting tax credits like Fuel Tax Credit. The IRS is implementing new security measures for tax professionals, such as CAF numbers, to prevent identity theft and refund fraud.
A contractor, Charles Edward Littlejohn, was sentenced to five years in prison for unauthorized disclosure of tax return information, including Donald Trump’s tax returns. The IRS is working with TIGTA to analyze the data, ensuring that taxpayer information was not further disclosed. The agency is also increasing audit rates for large partnerships and gearing up for audits focusing on partnership balance mismatches and limited partners who avoid self-employment taxes.
EU is introducing VAT reform, making electronic invoicing the default system from 2030 onwards to combat fraud and increase compliance. The U.S. has no similar plans yet, but the Business Payments Coalition and the Federal Reserve have launched an electronic delivery network for secure document sharing. The newsletter also touches on billionaire tax rates, Warren Buffet’s investment strategies, and upcoming tax dates and events.
The newsletter includes tax tips like proving common law marriage to claim a dependent and details about the Protecting Charitable Giving Act introduced in the Senate. Baker Tilly is acquiring Seiler LLP, and Franklin University has partnered with Miles CPA Review for CPA licensure. Professional organizations like AICPA & CIMA and NATP are offering new courses and webinars, aiming to improve understanding and practice in the tax field. The newsletter also features trivia, team responses on name changes, and key figures on improper Employee Retention Credits claimed by taxpayers.
