Friday, May 12, 2023


* Here is the word from the IRS at the IRS Operations: Status of Mission-Critical Functions page (highlights are mine) -
We have processed all paper and electronic individual returns received prior to January 2023, and we are opening mail within normal time frames. This means we have processed all returns we’ve received for tax year 2021 or earlier if those returns had no errors or did not require further review.
As of April 29, 2023, we had 3.8 million unprocessed individual returns. These include tax year 2022 returns, 2021 returns that need review or correction and late filed prior year returns. Of these, 2.4 million returns require error correction or other special handling, and 1.4 million are paper returns waiting to be reviewed and processed.”
And –
As of April 29, 2023, we had 919,000 unprocessed Forms 1040-X. We are processing these returns in the order received and the current timeframe can be more than 20 weeks.”
* It wouldn’t be a 2023 BUZZ without the report of some weather-related tax relief – this time “Oklahoma weather victims get federal tax relief” (from Jeff Stimpson at ACCOUNTING TODAY) –
Victims of severe storms, straight-line winds and tornadoes in Oklahoma on April 19 and 20 now have until Aug. 31 to file various federal individual and business returns and make tax payments.”
* Since there was no BUZZ last Friday there are two reports this installment.  From the IRS – “Florida storm victims qualify for tax relief; April 18 deadline, other dates extended to Aug. 15” –
The IRS is offering relief to any area designated by the Federal Emergency Management Agency (FEMA) as a result of tornadoes, severe storms and flooding that occurred from April 12 to 14. This means that individuals and households that reside or have a business in Broward County qualify for tax relief.”  
* Kay Bell, the yellow rose of taxes, discusses “Family business tax considerations" at DON’T MESS WITH TAXES.
But on May 13, the IRS' final walk-in Saturday of 2023 will mean that filers whose local TAC {Taxpayer Assistance Centers – rdf} is open can come in, no appointment needed, for some personal help with their tax problems.
Forty-five IRS TACs will be open on Saturday, May 13, in 26 states and 2 U.S. territories. The offices' hours will be 9 a.m. to 4 p.m. local time.”
* David Rae tells you “What You Need To Know Now About An Inherited Roth IRA” at FORBES.COM -
The good news is that a Roth IRA can typically be inherited tax-free. But unlike a Roth IRA in your name, you will not be allowed to keep money in an inherited Roth IRA forever. Non-spouse beneficiaries must take distributions each year, and have completely depleted the account within 10 years. Required distribution must start the year after the original owner's passing.”

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