Results 1 to 2 of 2

Thread: IRS Commissioner Predicts Miserable 2015 Tax Filing Season

  1. #1
    Banned Melonie's Avatar
    Joined
    Jul 2002
    Location
    way south of the border
    Posts
    25,932
    Thanks
    612
    Thanked 10,563 Times in 4,646 Posts
    Blog Entries
    3
    My Mood
    Cynical

    Default IRS Commissioner Predicts Miserable 2015 Tax Filing Season

    from


    (snip):“The filing season is going to be the worst filing season since I’ve been the National Taxpayer Advocate {in 2001}; I’d love to be proved wrong, but I think it will rival the 1985 filing season when returns disappeared.”

    There are five key factors at play – complicating the upcoming filing season (that’s when you file your 2014 tax return). The IRS agency budget is the number one challenge, Koskinen said. The House has voted to cut the IRS budget for 2015 by $341 million, and the Senate has proposed to increase it by $240 million—that would still be 7% below 2010 funding levels.

    In the meantime, Congress keeps passing laws that the IRS has to implement, namely the Affordable Care Act (“ACA”) and the Foreign Account Tax Compliance Act (“FACTA”). For example, Koskinen said the IRS requested $430 million in 2014 from Congress to implement the ACA but got zero, forcing it to take money out of enforcement and taxpayer services budgets.

    This will be the first filing season with two major provisions from the Affordable Care Act –the premium tax credit and the individual shared responsibility payment–on Form 1040. National Taxpayer Advocate Olson said she’s very concerned about the IRS receiving accurate information from the health exchanges. It won’t be the IRS’s fault, but taxpayers will likely put the blame on the IRS. Koskinen touted the web pages that the IRS has created to help explain the ACA tax provisions.

    Olson expects that implementation of FACTA, which affects taxpayers with accounts overseas, will also cause trouble this filing season. A new withholding requirement will mean there will be an issue with taxpayers trying to get refunds back in a timely manner. “If they are overseas, who are they going to call? There is not toll free number,” Olson said.

    Then there are the tax extenders, 50-plus laws whose fate is uncertain. Congress has vowed to vote on the future of these laws in the upcoming lame duck session. But Koskinen warns that if the uncertainty continues into December, it could delay the start of the filing season and delay tax refunds.(snip)


    For US resident dancers and camgirls, the biggest new 'wrinkle' will probably be the new 1% IRS 'penalty tax' if they did not have / purchase ACA 'qualified' health insurance coverage during 2014. And for US resident dancers and camgirls who did purchase 'subsidized' ACA public exchange health insurance during 2014, there will be an IRS 'reconciliation' of the discounted health insurance cost they paid throughout 2014 versus the total 2014 income based subsidy level they were actually entitled to receive. This could result in bigger tax refund payments, or an additional IRS 'bill' to repay X dollars per month worth of health insurance subsidies they already received but they weren't actually entitled to based on total 2014 income level.

    The FACTA compliance issues aren't likely to be 'boat-rockers' for US resident dancers and camgirls. About the only potential issue would be the reporting of money earned from non US sources being transferred across the US border ... which will arguably force US camgirls receiving payments from non-US based webcam hosts to report that income regardless of whether the non-US based webcam hosts issue 1099 income reports directly to the IRS.

    However, for NON-US resident camgirls ( which includes both ex-pat US citizens and foreign country citizens ) who receive payments from US based webcam hosts, there is the potential for a large new 'wrinkle'. Based on analysis of new regulations by major accounting firm attorneys ( see ) , NON-US resident recipients of income earned from US based companies will become subject to a new 30% US 'estimated tax withholding' by whatever financial institution attempts to send the US company based payments outside the USA.

    NON-US resident camgirls ( which includes both ex-pat US citizens and foreign country citizens ) will be able to file a non-resident US tax return to get back some of that money ... but doing so will also result in that US based income being reported to their home country's tax agency !
    Last edited by Melonie; 11-05-2014 at 12:08 PM.

  2. #2
    God/dess threlayer's Avatar
    Joined
    Aug 2003
    Location
    Syracuse
    Posts
    5,921
    Thanks
    369
    Thanked 419 Times in 290 Posts
    My Mood
    Fine

    Default Re: IRS Commissioner Predicts Miserable 2015 Tax Filing Season

    We know it is always miserable for us. Too bad if it is miserable this year for them.
    I loved going to strip clubs; I actually made some friends there. Now things are different for the clubs and for me. As a result I am not as happy.

    Customers are not entitled to grope, disrespect, or rob strippers. This is their job, not their hobby, and they all need income. Clubs are not just some erotic show for guys to view while drinking.

    NOTE: anything I post here, outside of a direct quote, is my opinion only, which I am entitled to. Take it for what you estimate it is worth.

Similar Threads

  1. Replies: 21
    Last Post: 04-15-2013, 02:27 PM
  2. Replies: 8
    Last Post: 04-13-2011, 03:45 PM
  3. Replies: 0
    Last Post: 08-30-2009, 05:43 PM
  4. PSA - Rabbit Season... Tax Season...
    By MojoJojo in forum The Lounge
    Replies: 3
    Last Post: 03-05-2005, 01:39 PM
  5. Free E-filing of taxes available on irs.gov
    By Richard_Head in forum Dollar Den
    Replies: 2
    Last Post: 01-19-2005, 08:18 PM

Bookmarks

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •