Claude M. Millman presented on “Ethics in Government Contracting” at a Lawline webinar on July 16, 2018
Topics covered include gifts, entertainment, and favors when dealing with public servants; dealing with public servants with dual positions, or those who misuse their positions; managing “revolving door” employment; and handling endorsements from governments. New York City’s conflicts of interest law was used as an example of how these issues may be regulated in particular jurisdictions.
Caroline D. Ciraolo has joined the faculty of the University of Baltimore Graduate Tax Program and will teach a new course entitled "Investigation, Prosecution and Defense of Tax Crimes."
Michael Sardar presented "Representing The Taxpayer Without Records, How And When Can A Preparer Use Taxpayer Estimates & Reconstructions To Prepare A Return" at the 2018 IRS Nationwide Tax Forum
In the event of a loss of client records or due to poor record keeping, a paid preparer may need to help his client reconstruct the records.
Caroline D. Ciraolo presented the keynote "Tax: The Good, The Bad, And The Ugly" at the Accounting & Finance Show
Topics included: The Current Landscape - enforcement priorities of the IRS and the U.S. Department of Justice Tax Division and Best practices - addressing sophisticated and complex tax controversies.
Caroline Rule published a three-part "Sound Advice" audio presentation entitled "The Kovel Privilege: Using The Services Of A Non-Testifying Third-Party Expert Without Waiving The Attorney-Client Privilege"
A three-part series presented by Caroline Rule that explores the Kovel privilege and offers suggestions for preserving the attorney-client privilege while using the services of a non-testifying third party expert.
Supreme Court Overturns Decades-Old Precedent; Allows States To Tax Retailers Doing Business In States Without Physical Presence
On June 21, 2018, in South Dakota v. Wayfair, the U.S. Supreme Court overruled the long standing “physical presence test” established under Quill Corp. v. North Dakota (“Quill”) to determine whether there is a sufficient nexus for a state to require an out-of-state retailer to collect and remit sales tax for conducting business within its borders. In doing so, the Court has paved the way for states to impose sales taxes on out-of-state online retailers, which could allow the states to claim an estimated $8 to $33 billion in additional revenue per year.
Kostelanetz & Fink is pleased to announce two additions to the DC Office.
Claude M. Millman Quoted in "Department Of Youth And Community Development Public Contract Hearings Lack Public Engagement," New York Nonprofit Media
All of the contract information could be made available online, said Claude Millman, a partner at Kostelanetz and Fink, who represents government contractors, including nonprofits, doing business with New York City and state, and a former director of the Mayor’s Office of Contract Services.
“If I decided I wanted to tell everyone about a proposed contract I could post it on Facebook, link to the contract, and allow online commenting I would read out at the hearing,” he said. “If you regularly make (the contracts) unavailable, you’re going to depress public interest in the hearings themselves.”
Caroline D. Ciraolo presented "Identifying And Addressing Conflicts Of Interest And Ethical Issues In Today's Tax Practices" at the 42nd Annual American Institute on Federal Taxation
The 2018 program included many of the best speakers in the country. It has been a tradition of the AIFT to provide the highest caliber tax program presenting and explaining the latest tax strategies, updates, legislative forecasts, and planning techniques.
Passport Revocation and Denial for Seriously Delinquent Tax Debts: New IRS Procedures Signal More Stringent Enforcement
By: Megan L. Brackney
The CPA Journal
In January 2018, the IRS published procedures to begin enforcement of Internal Revenue Code (IRC) section 7345, which requires the State Department to deny the application for, or revoke the passport of, any individual whom the IRS certifies as having a “seriously delinquent tax debt.” IRC section 7345 was enacted on December 5, 2015, as part of the Fixing America’s Surface Transportation Act (FAST Act).
Prior to January 2018, the IRS had not been enforcing IRC section 7345, and there were many questions about how the passport revocation/denial process would work, such as whether there would be any additional exceptions, how the IRS would exercise its discretion, and how the IRS would interact with the State Department. Recently, the IRS has answered many of these questions through the issuance of Notice 2018-01 (Jan. 16, 2018), new Internal Revenue Manual (IRM) provisions, and updates on its website.
Now that the IRS has procedures in place to enforce IRC section 7345, it is important for CPAs to advise individual clients about this new and very serious consequence to being noncompliant with their tax liabilities. Below is a description of the provisions of IRC section 7345 and the IRS guidance, followed by answers to common questions that affected individuals may have.