IRS has broad power to find payroll tax responsibility
Article Abstract:
A 100% penalty is levied by Section 6672 of the Internal Revenue Code on people with the responsibility of withholding federal taxes who fail to do so. People with responsibility for withholding taxes should be cognizant of warning signs that a company may have difficulty in meeting its withholding obligations, including: rapid growth of receivables, a quickly expanding work force, and higher than normal interest rates on loans. These problems signal cash flow problems that a firm may attempt to deal with by diverting funds that are being withheld for tax purposes. People only should become involved in responsible person situations if a business is fundamentally fiscally sound.
Publication Name: Taxation for Accountants
Subject: Business
ISSN: 0040-0165
Year: 1991
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Final regs. issued on like-kind property exchanges
Article Abstract:
The IRS has issued final Regulations governing like-kind property exchanges which will cover exchanges made after April 10, 1991. The final Regulations base the product class of property on the Office of Management and the Budget's Standard Industrial Classification Manual's four digit product coding system. Intangible and non-depreciable personal property are not covered by the Regulations. The Regulations also hold that goodwill or going concern value of dissimilar businesses are not considered like-kind.
Publication Name: Taxation for Accountants
Subject: Business
ISSN: 0040-0165
Year: 1991
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Self-charged interest proposed regs. benefit taxpayers
Article Abstract:
The IRS has issued Proposed Regulations under Internal Revenue Code Section 469 that cover the treatment of interest on loans a taxpayer makes to a pass-through entity. Taxpayers that own interests in pass-through entities were provided with the "self-charged" interest alternative treatment by Congress, and the Proposed Regulations stipulate that calculations of self-charged interest are based on the taxpayers' share of the income and deductions of the pass-through entity.
Publication Name: Taxation for Accountants
Subject: Business
ISSN: 0040-0165
Year: 1991
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