August: Date to remember; Phone scams; and Federal rates
Tax Snacks: Bite-size tax news and information on the fly
- Third quarter estimated tax payments are due (for calendar-year entities and individuals).
- Extended corporate, trust and partnership returns are due (for calendar year-end entities).
Telephone scammers posing as IRS personnel have successfully victimized around 1,100 people and stolen close to $5,000,000, according to the government. Ninety-thousand complaints have been received and there appears to be no end in sight, in part because the scammers use caller ID that make the calls appear to originate from the IRS. Some more information and useful tips regarding how to avoid being duped can be found here. Of these tips, you generally can avoid being fooled by remembering two things: The IRS nearly always makes initial contact by mail, not by phone or e-mail. Also, they never demand immediate payment; a time frame (generally several weeks) is provided to pay or contest their claim.
One of this month’s newsletter articles addresses the need for interest to apply to certain corporation/shareholder loans. It mentions the IRS “Applicable Federal Rates” (AFR). AFRs are published monthly by the IRS, and can be found here. Much more information on AFRs can be found in this article, which we published in June.
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IRS CIRCULAR 230 DISCLOSURE:
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