Initially, tracking systems were employed to monitor the private jet usage of celebrities like Taylor Swift. Now, similar scrutiny will extend to executives who utilize business aircraft for personal purposes while claiming tax deductions. IRS Initiatives The IRS...
Tax
Unrealized Income Under Scrutiny: Will SCOTUS Unleash Chaos on the US Tax Code?
Supreme Court Deliberation on Income Definition In December 2023, the Supreme Court considered the fundamental question: "How is income defined?" Moore v. United States centered on the question of taxation of unrealized income. Unrealized income is defined as a gain...
Limited in Name but Not in Tax? U.S. Tax Court Increases Tax Liability for Limited Partners
Certain limited partners in venture capital and private equity will likely see an increase in their tax liability due to a recent U.S. Tax Court decision. Generally, partners in a partnership and members in a limited liability company (LLC), taxed as a partnership,...
IRS Increases 2024 Federal Estate Tax Exemption and Gift Tax Exclusions: Key Points for Taxpayers
Introduction Estate planning is a lot like putting together a puzzle. The client provides you with their box lid showing what they want the ultimate result of their plan to look like. Then, estate planners are tasked to identify and gather the various pieces and put...
Commercial Activity Tax Changes Brings Additional Opportunities for Business Growth in Ohio
Key Takeaways Under a bill signed by Governor DeWine this year, companies subject to Ohio’s Commercial Activity Tax (CAT) will receive a significant tax break beginning in 2024. Beginning January 1, 2024, taxpayers will only pay CAT on taxable gross receipts exceeding...
Artificial Intelligence Allows IRS to Increase Scrutiny of High-Earners & Partnerships
The Internal Revenue Service (IRS) recently announced a renewed effort to ensure compliance with federal tax law, specifically focusing on high-income earners, partnerships, and large corporations. This additional scrutiny results from the additional funding obtained...
Maximizing Tax Benefits: Exploring SALT Cap Workarounds
Recently, the Wall Street Journal published an article entitled "The SALT Cap Has a $20 Billion Hole." The premise of the article was that the projections of the additional revenue that would be received by limiting the SALT deduction to $10,000 under the Tax Cut and...
IRS Challenges Charitable Status of NIL Collectives, Casting Doubt on Donations to Support College Athletes
Is it charitable to donate to a group that facilitates opportunities for athletes at a particular college? The IRS thinks not. In a recent memo released from the office of the IRS Chief Counsel, the IRS asserts that this would be a “private benefit” to just a few star...
Ohio Senate Proposes Budget Ahead of June 30 Deadline
This past Tuesday the Republican controlled Ohio Senate unveiled its two-year budget proposal. The proposed budget is about $2 billion less than the version the Ohio House passed and contains significant changes to Ohio’s tax code and the way Ohio funds schools....
Move Over TikTok, the Tax Man May Be Snooping on You, Too
In a rare unanimous opinion, the U.S. Supreme Court recently confirmed that existing law allows the IRS to probe your bank records, without ever notifying you. Under the applicable statute, the Court concluded the IRS is not required, in every circumstance, to notify...