Tax News & Views When To File Roundup

February 8, 2021

With Congress Still Debating Stimulus, Should You Rush To File Your 2020 Tax Return Or Wait? Amber Gray-Fenner, Forbes. “As with most things in tax, the answer to the question posed in this headline is “it depends.”

Want a Bigger Stimulus Check? Consider Filing Your Tax Return Early – Richard Rubin, WSJ($). “For many Americans, income in 2020 was lower than it was in 2019 because of the pandemic-induced recession. And because the stimulus payments of up to $1,400 per person will have limits based on household income, it matters which year the payments are based on.”

Romney proposes monthly payments for families with children – Naomi Jagoda, The Hill. “Under Romney's proposal, the existing child tax credit would be replaced with monthly payments of $350 for children ages 5 and under and $250 for children ages 6 to 17. Families would be capped at monthly payments of $1,250.”

“The payment amounts phase out for single tax filers with income above $200,000 and married couples with income above $400,000 — the same income phaseout thresholds for the current child tax credit. The Social Security Administration would administer the monthly payments, and people would reconcile any overpayments or underpayments with the IRS when they filed their tax returns.”

SALT Cap Removal Will Hinge on Democratic Leaders – Jad Chamseddine, Tax Notes. “Pressure is building on some Democratic lawmakers to repeal the $10,000 state and local tax deduction cap, but its inclusion in an upcoming relief package will likely rest in the hands of congressional leaders.”


Florida and Missouri, the Last Wayfair Holdouts, Consider Remote Sales Tax Bills – Janelle Cammenga, Tax Policy Blog. “Since 2018’s landmark South Dakota v. Wayfair Supreme Court case, most states have jumped at the chance to use their newfound authority to tax a greater share of online sales. Some states designed their systems better than others, and many still include relics of previous regulations dealing with physical presence, but nearly every state was quick to take advantage of the broader nexus standards permitted by the Wayfair decision—all but two.”

Eligible educators may deduct personal protective equipment expenses – Sally P. Schreiber, J.D., Journal of Accountancy.

“The IRS provided a safe harbor under which “eligible educators” can deduct unreimbursed expenses for COVID-19 protective items as educator expenses under Sec. 62(a)(2)(D) (Rev. Proc. 2021-15). COVID-19 protective items include, but are not limited to:

  • Face masks;
  • Disinfectant for use against COVID-19;
  • Hand soap;
  • Hand sanitizer;
  • Disposable gloves;
  • Tape, paint, or chalk to guide social distancing;
  • Physical barriers (e.g., clear plexiglass);
  • Air purifiers; and
  • Other items recommended by the Centers for Disease Control and Prevention to be used for the prevention of the spread of COVID-19.

Senate shows bipartisan support for mobile workforce tax legislation - Alistair M. Nevius, J.D., Journal of Accountancy. “One amendment, introduced by Sen. John Thune, R-S.D., and supported by Sen. Sherrod Brown, D-Ohio, reflects bipartisan legislation that would provide state tax filing relief to American employees and businesses during the pandemic. The amendment passed the Senate unanimously on a voice vote.”

Six arrested after changing Hollywood sign to ‘Hollyboob’ – Kevin Rector, LA Times. “Six people were arrested Monday after scaling steep terrain around the iconic Hollywood sign and strategically changing it to convey what they said was a breast cancer awareness message, according to police.”


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