While the Internal Revenue Service (IRS) delayed Tax Day by three months due to the COVID-19 pandemic, Tax Day is finally upon us, and people who waited to file their federal returns can wait no more. For most people, this signifies the end of thinking about taxes for the rest of the year; but, for some, filing their 2020 return will trigger an audit by the IRS.

A person getting married or divorced in the United States should note the tax implications for doing so.  Marriage and divorce are two clearly significant life events.  Yet, the tax consequences of both are not widely understood, especially when the couple’s joint tax liability is negatively impacted by the actions or debts of one spouse. Speak to Virginia tax lawyer Kevin E. Thorn, Managing Partner of Thorn Law Group, if you have questions or concerns about your tax obligations.

Small businesses have always faced audit risks, but a recent development at the Internal Revenue Service (IRS) means that small businesses could soon be facing enhanced scrutiny of their federal returns. On March 5, the IRS announced that its Small Business/Self Employed Division is opening a new Fraud Enforcement Office that will specifically be targeting small businesses that underreport and underpay their federal tax liability. The Fraud Enforcement Office is beginning operations in 2020.

In an effort to provide some financial relief to individual and corporate taxpayers during the novel coronavirus pandemic, the Internal Revenue Service (IRS) has extended the federal income tax filing and payment deadline for 2020 from April 15 to July 15. The Virginia Department of Treasury has extended the state income tax payment deadline to June 1. These extensions apply to all taxpayers automatically. In other words, there is nothing you need to do in order to delay your filings and payments (if applicable) to these revised deadlines.

On February 19, 2020, the Internal Revenue Service (IRS) announced that it will be stepping up its efforts to target high-income taxpayers who have failed to file all necessary return forms in prior years.