IRS Still Processing 6.7 Million Returns from Last Year
1) IRS Still Processing 6.7 Million Returns from Last Year, Could Extend Tax Deadline for 2021
https://www.taxpracticeadvisor.com/individual-income-taxes/news/21212072/irs-still-processing-67-million-returns-from-last-year-could-extend-tax-deadline-for-2021
2) Tax Provisions in the American Rescue Plan Act:
https://www.journalofaccountancy.com/news/2021/feb/tax-provisions-american-rescue-plan-act.html?utm_source=mnl:alerts&utm_medium=email&utm_campaign=27Feb2021&utm_content=button
3) Revenue Ruling 2021-06 provides the rates for interest determined under Section 6621 of the code for the calendar quarter beginning April 1, 2021, will be 3 percent for overpayments (2 percent in the case of a corporation), 3 percent for underpayments, and 5 percent for large corporate underpayments. The rate of interest paid on the portion of a corporate overpayment exceeding $10,000 will be 0.5 percent.
Revenue Ruling 2021-06 will be in IRB: 2021-12, dated March 22, 2021.
4) Form 1099 NEC California Issues:
We discovered the IRS is not forwarding the Forms 1099-NEC to most states…as it has for Forms 1099-MISC in past years. This is because the form is new and, oddly, the normal document sharing process between the I.R.S. and state tax authorities has not been established for this particular form.
For California filing purposes, I have attached the link to California FTB 1099 info sheet for your reference.
https://www.ftb.ca.gov/file/business/information-returns.html
The 1099-NECs are due to California 2/28/21 per the attachment. Since that date is a Sunday, it is extended to Monday, 3/1/21.
If you used a service to process your 1099s, please check with them to see if they can (or did) e-file the state copy for you. If you did them manually, you can mail the paper form. The address to file the paper forms is:
Franchise Tax Board
PO Box 942840
Sacramento, CA 94240-6090
As an additional option, GROCO does have an FTB Swift e-filing account. To use this, we will need to input your company information and details from your Tax Year 2020 IRS Form 1099s in our system before we can e-file them. Please let us know if you would like this option.
If you are located in a different state and need assistance with that state’s requirements, please contact us:
Greenstein Rogoff Olsen & Co
rcohen@groco.com
510-797-8661
How to Choose Whom to Lend to?
How to Choose Whom to Lend to? The world runs on money, and those who have the money typically control how things are run. That’s a very broad and general statement, and of course, there are many variables but for the most part, when money talks people listen. Thus, the role of venture capitalists, banks…
Important Qualities for Practicing Leadership
Important Qualities for Practicing Leadership What makes a great leader? There are several answers to this question and it really depends on whom you ask. I meet with many great business leaders and while they often identify many of the same qualities of great leadership no two answers are exactly the same. It usually takes…
Top Tech Issues That President Trump Will Face
Top Tech Issues That President Trump Will Face Just as the rest of the country waits in anticipation of President-elect Donald Trump’s inauguration, so too does the tech industry. It’s no secret that several top-level executives from more than one of the largest tech companies in America have clashed at times with the president-elect. However,…
Top Ways to Be Smarter About Handling Money
Top Ways to Be Smarter About Handling Money Whether they’re successful at it or not, almost everyone would like to be better at managing their money. The fact is money management plays a huge role in an individual’s personal wealth and financial well-being. While not everyone can be wealthy, everyone can be smarter with his…