The IRS is mailing information letters to tax practitioners who haven't renewed PTINs for the upcoming filing season. The letters were sent out last week and will continue until January 30.
Carol Cantrell of Texas Society of Certified Public Accountants (TSCPA), in comments on the reproposed regulations explaining which costs incurred by estates or non-grantor trusts are subject to the 2 percent floor for miscellaneous itemized deductions, has suggested that the final regulations adopt a Hubert approach and a percentage safe harbor for bundled fees.
The Temporary Payroll Tax Cut Continuation Act of 2011 temporarily extends the two percentage point payroll tax cut for employees, continuing the reduction of their Social Security tax withholding rate from 6.2 percent to 4.2 percent of wages paid through Feb. 29, 2012. The IRS will issue additional guidance as needed to implement the provisions of this new two-month extension.
For registered preparers filing for a new Preparer Tax Identification Number (PTIN), you will be unable to do so until Jan. 9, due to previously scheduled maintenance on the Internal Revenue Service’s (IRS) systems. However, for those who need to renew a PTIN, those services are still available.