Paul L. Caron
Dean
Pepperdine Caruso
School of Law
Gov’t Reports
-
CBO Releases Tax Revenue Options
The Congressional Budget Budget Office yesterday released Reducing the Deficit: Spending and Revenue Options: The CBO regularly issues a compendium of budget options to help inform federal lawmakers about the implications of possible policy choices. This volume—one of several reports that CBO produces regularly for the House and Senate Committees on the Budget—presents more than…
-
GAO Releases Two Tax Reports
The Government Accountability Office yesterday released two tax reports: Electronic Tax Return Filing: Improvements Can Be Made Before Mandate Becomes Fully Implemented (GAO-11-344) (Mar. 7, 2011) Illicit Tobacco: Various Schemes Are Used to Evade Taxes and Fees (GAO-11-313) (Mar. 7, 2011)
-
TIGTA: The IRS Pays $12 Billion/Year in Phony EITC Claims — A 25% Error Rate
The Treasury Inspector General for Tax Administration yesterday released Reduction Targets and Strategies Have Not Been Established to Reduce the Billions of Dollars in Improper Earned Income Tax Credit Payments Each Year (2011-40-023): The GAO has listed the Earned Income Tax Credit (EITC) Program as having the second highest dollar amount of improper payments of…
-
TIGTA: 20% Error Rate in Tax Credits Claimed for Electric and Hybrid Cars
The Treasury Inspector General for Tax Administration today released Individuals Received Millions of Dollars in Erroneous Plug-in Electric and Alternative Motor Vehicle Credits (2011-41-011): Approximately $33 million in credits for plug-in electric and alternative-fueled vehicles credits were erroneously claimed by at least 12,920 taxpayers through July 24, 2010. … That means about 20% of the $163.9…
-
Joint Tax Committee Releases List of Expiring Federal Tax Provisions, 2010-2020
The Joint Committee on Taxation today released List of Expiring Federal Tax Provisions 2010-2020 (JCX-2-11): This document … provides a listing of Federal tax provisions (other than those providing time-limited transition relief after the repeal of an underlying rule) that are currently scheduled to expire in 2010-2020 (with references to the applicable section of the Internal Revenue…
-
GAO Cannot Render Opinion on Government’s Financial Statements
The Government Accountability Office has released A Citizen's Guide to the 2010 Financial Report of the U.S. Government (268 pages): For FY 2010, the Government Accountability Office (GAO) issued a disclaimer of audit opinion on the accrual-based Governmentwide financial statements for the fourteenth consecutive year. Accounting Today, GAO Sees Problems in Government’s Financial Management: The U.S. Government Accountability…
-
Joint Tax Committee Releases Tax Expenditure Estimates for 2010-14
The Joint Committee on Taxation yesterday released Estimates of Federal Tax Expenditures for Fiscal Years 2010-2014 (JCS-3-10): Part I of this report contains a discussion of the concept of tax expenditures. Part II is a discussion of the measurement of tax expenditures. Estimates of tax expenditures for fiscal years 20102014 are presented in Table 1…
-
53% of Economists Work for the Government
According to the Bureau of Labor Statistics’ Occupational Outlook Handbook 2010-2011, 53% of all U.S. economists work for the government (31% in the federal government and 22% in state and local government). (Hat Tip: New York Times Economix.)
-
CBO: Tax Cuts Were Least Effective Stimulus in Recovery Act
The Congressional Budget Office has released Estimated Impact of the American Recovery and Reinvestment Act on Employment and Economic Output From July 2010 Through September 2010 (Nov. 2010), which reports that the tax relief included in the Recovery Act had less of a stimulative impact than either government purchases or transfer payments to individuals and governments.…
-
TIGTA: IRS Fails to Properly Utilize Currency Report Data to Catch Tax Cheats
The Treasury Inspector General for Tax Administration today released Currency Report Data Can Be a Good Source for Audit Leads (2010-30-104): Individuals who fail to file required returns or underreport their income can create unfair burdens on honest taxpayers and diminish the public’s respect for the tax system. While currency reports may be commonly associated with…
-
IRS Increases Scrutiny of Taxpayers With Foreign Assets
The Treasury Inspector General for Tax Administration today released New Legislation Could Affect Filers of the Report of Foreign Bank and Financial Accounts, but Potential Issues Are Being Addressed (2010-30-125): [T]he number of FBAR-related examinations increased 96 percent (from 334 to 656) from Fiscal Year (FY) 2004 to FY 2009. In addition, the number of FBAR penalty…
-
GAO: Compliance Costs of ObamaCare’s 1099 Reporting Requirement Are Low
At yesterday’s hearing of the Senate Committee on Small Business and Entrepreneurship on Assessing the Regulatory and Administrative Burdens on America’s Small Businesses, James R. White, Director of Tax Issues at the Government Accountability Office, testified on Small Businesses: Tax Compliance Benefits and Opportunities to Mitigate Costs on Third Parties of Miscellaneous Income Reporting Requirements (GAO-11-218T): Information reporting…
-
TIGTA: IRS Needs to Better Protect Federal Tax Liens in Mortgage Foreclosures
The Treasury Inspector General for Tax Administration today released Coordination and Procedures for Foreclosures Can Be Improved (2010-30-119): The IRS was inconsistent in how it processed foreclosure cases and coordinated with local United States Attorneys’ Offices (USAO). … When a taxpayer fails to pay taxes owed, the IRS may attach a claim to a taxpayer’s real…
-
CRS: Cost of Extending Bush Tax Cuts = $5 Trillion
BNA has made available a Congressional Research Service report, The Bush Tax Cuts and the Economy (R41393), by Thomas L. Hungerford. The report states that the total cost of extending all of the 2001 and 2003 Bush tax cuts would be $5.048 trillion over the next decade, when taking into account the cost of indexing the alternative minimum tax and the cost…
-
GAO Releases Two Tax Reports
The Government Accountability Office today released two tax reports: Tax Debt Collection: IRS Could Improve Future Studies by Establishing Appropriate Guidance (GAO-10-963) Tax Gap: IRS Can Improve Efforts to Address Tax Evasion by Networks of Businesses and Related Entities (GAO-10-968)
-
Open CRS Releases Tax Reports
The Bush Tax Cuts and the Economy (R41393) The Economic Effects of Capital Gains Taxation (R40411) The OECD Initiative on Tax Havens (R40114) Tax Credit Bonds: Overview and Analysis (R40523) Tax Deductible Expenses: The BP Case (R41365) Tax Havens: International Tax Avoidance and Evasion (R40623) Tax Issues and the Gulf Oil Spill: Analysis of Payments and Tax…
-
GAO Releases Two Tax Gap Reports
The Government Accountability Office has released two reports on reducing the tax gap: Expanded Information Reporting Could Help IRS Address Compliance Challenges with Forgiven Mortgage Debt (GAO-10-997) IRS Has Modernized Its Business Nonfiler Program but Could Benefit from More Evaluation and Use of Third-Party Data (GAO-10-950)
-
Census Bureau Releases Income, Poverty Data
The U.S. Census Bureau today released the results of the 2009 American Community Survey. From the press release: Median Household Income Real median household income in the United States fell between 2008 and 2009 — decreasing by 2.9 percent from $51,726 to $50,221. Between 2008 and 2009, real median household income decreased in 34 states…
-
President’s Economic Recovery Advisory Board to Discuss Tax Options at Today’s Meeting
The President’s Economic Recovery Advisory Board (PERAB) meets today at 2:00 p.m. EST via conference call (live webcast available here). From the agenda: The discussion will include Board review of a report by the Tax Reform subcommittee. The report discusses a spectrum of reform ideas relating to tax simplification, enforcement of existing tax laws, and reform of…
-
TIGTA: IRS Fails to Properly Monitor 25% of Section 527 Political Organizations
The Treasury Inspector General for Tax Administration today released Improvements Have Been Made, but Additional Actions Could Ensure That Section 527 Political Organizations More Fully Disclose Financial Information (2010-10-018): This report presents the result of our review of the filing compliance of Section 527 political organizations. … The IRS has taken significant actions to improve its…
-
TIGTA: IRS Lacks Adequate Internal Controls in Spending $203m in Stimulus Funds
The Treasury Inspector General for Tax Administration today released Concerns About Contracting Officer’s Technical Representatives That Are Relevant to the American Recovery and Reinvestment Act of 2009 Procurements (2010-11-087): Procurements that are both awarded and planned by the IRS as part of the American Recovery and Reinvestment Act of 2009 may be at risk due to inadequate oversight.…
-
Joint Tax Committee Releases Description of Tax Provisions in Obama’s FY 2011 Budget
The Joint Committee on Taxation yesterday released Description of Revenue Provisions Contained in the President’s Fiscal Year 2011 Budget Proposal (JCS-2-10) (521 pages): This document … provides a description and analysis of the tax provisions that are included in the President’s fiscal year 2011 budget proposal, as submitted to the Congress on February 1, 2010. The document generally…
-
CRS: Official Scores Underestimate Revenues from Planned Capital Gains Tax Hikes
The Congressional Research Service has issued Capital Gains Tax Options: Behavioral Responses and Revenues (R41364), by Jane G. Gravelle. From BNA: Among the expiring Bush tax cut provisions is a lower 15% rate for long-term capital gains and dividends, with a 0% rate for taxpayers with ordinary tax rates of 15% or less. With no change,…
-
Joint Tax Committee Releases Distributional Analysis of Dueling Bush Tax Cut Proposals
The Joint Committee on Taxation has released a distributional analysis (and subsequent correction) (links courtesy of BNA) of Democratic and Republican proposals for dealing with the expiring Bush tax cuts.
-
CRS: Form 1099 Reporting Requirements as Modified by ObamaCare
The Congressional Research Service has issued Form 1099 Information Reporting Requirements as Modified by the Patient Protection and Affordable Care Act (R41359): Under § 6041, persons engaged in a trade or business who make payments totaling at least $600 to another person in a single year are required to file an information return (typically a…