IRS Struggles Against Nonfilers with Large Foreign Bank Accounts
The Treasury Inspector General for Tax Administration released a report showing the IRS’s Offshore Private Banking Campaign identified 405 high‑net‑worth taxpayers with undisclosed foreign accounts, yet enforcement was minimal. Only 12 of the 164 examined cases resulted in additional tax, and none of the 241 letter recipients faced the $10,000 FATCA non‑filing penalty. The report highlights an average unreported balance of $1.3 billion for examined taxpayers and $377 million for those mailed, underscoring a gap between FATCA’s intent and actual IRS action.
Wyden Introduces Bills to Close Tax Shelters
Senate Finance Committee ranking member Ron Wyden introduced two bills targeting tax shelters used by the ultra‑wealthy. The Getting Rid of Abusive Trusts Act would tighten grantor retained annuity trusts (GRATs) by imposing a 15‑year minimum term and treating transfers...
In the Blogs: HIPAA HIPAA Hooray
The U.S. Department of Health and Human Services has issued a December 2024 proposal that represents the most significant update to the HIPAA Security Rule since 2013, aiming to close long‑standing cybersecurity gaps in healthcare. The IRS released IR‑2026‑46, expanding Business...
IRS Braces for Last-Minute Surge of Tax Filings
The Internal Revenue Service is bracing for a last‑minute surge of tax‑return filings as procrastinating taxpayers await guidance on new deductions. Staffing and budget cuts have trimmed the agency’s workforce by roughly 25‑27% and halved the $80 billion Inflation Reduction Act...
AI Is Delivering Tangible Benefits This Tax Season
Tax professionals are increasingly deploying AI tools such as Thomson Reuters CoCounsel Tax & Audit to streamline workflows, reduce manual research, and improve accuracy during the busy tax season. At Minnesota‑based Copeland Buhl, 67 staff members using AI have cut...
PwC Shakes up UK Consulting Unit in Global Integration Drive
PwC’s UK practice is merging its consulting and risk divisions, shrinking its portfolio from five service lines to four to deliver a more globally integrated advisory model. The restructured unit will be led by consulting head Jonathan House, while risk...
IRS Fraud Rings Move Beyond Tax Refund Theft
Cybercriminals are escalating tax fraud by converting stolen identities into bogus businesses, securing legitimate Employer Identification Numbers (EINs) and opening bank accounts. The scheme follows a four‑stage pipeline—identity theft, LLC registration, EIN acquisition, and credit line requests—causing credit applications to...
IRS Warns Preparers About Misappropriating Refunds
The IRS Office of Professional Responsibility (OPR) issued a reminder that tax preparers may not endorse or negotiate federal refund checks, as prohibited by Circular 230 Section 10.31. The guidance targets the common practice of splitting refunds with unbanked or cash‑strapped clients,...
IFIAR Sees Global Uptick in Audit Inspection Problems
The International Forum of Independent Audit Regulators (IFIAR) reported a slight rise in audit inspection findings for 2025, with 35% of audited engagements showing at least one issue, up from 34% in 2024. The share of audits with findings had...
GASB Considers Restructuring Accounting Literature
The Governmental Accounting Standards Board (GASB) has issued a discussion memorandum proposing to replace its dual‑authority GAAP framework for state and local governments with a single‑authority structure modeled on the FASB Accounting Standards Codification. The current system separates Original Pronouncements...
Santa Clauses Get a Tax Break on Tips, but Not Accountants or Tax Pros
Congress’s 2023 tax overhaul introduced a $25,000 tip deduction, and the Treasury has now clarified that Santa Claus impersonators and more than 70 other niche occupations qualify as entertainers eligible for the break. The final rule places Santa, caricature artists,...
Maryland Approves Licensure Pathways Bill
Maryland lawmakers approved House Bill 643, creating a third pathway to Certified Public Accountant licensure that will take effect on October 1, 2026 pending the governor’s signature. The new route allows candidates with a bachelor’s degree, two years of relevant experience and a...
13 Issues Worrying Firm Leaders
Accounting firm leaders surveyed by Accounting Today identified 13 inter‑linked challenges reshaping the profession. Private‑equity‑driven mergers, heightened regulatory scrutiny, and the need for rapid technology adoption top the list, while talent shortages and pricing pressures add urgency. Executives stress that...
CAQ, Deloitte Gauge Audit Committee Priorities
The Center for Audit Quality and Deloitte issued a new report on audit‑committee effectiveness, drawing on a survey of 27 chairs and members. The findings confirm cybersecurity as the top priority, with many committees expanding training and relying on external...
IRS Proposes Remittance Transfer Tax Rules
The IRS and Treasury released proposed regulations to enforce a 1% excise tax on U.S. remittances sent via cash, money orders, cashier’s checks, and similar physical instruments, effective Jan. 1 2026. The sender is responsible for the tax, but remittance‑transfer providers must...
