Posts

Auto racing team gets a green flag

/in , /by

When businesses dispose of assets, gain or loss must generally be recognized on tax returns, depending on the nature of the disposition (by sale, exchange, or involuntary conversion). In a private letter ruling, the IRS approved how a Formula 1 auto racing team handled its auto parts disposition for gain and loss purposes. Due to the unique nature of auto racing, the IRS ruled that each part used to build race cars for each specific race was the appropriate asset to be valued for disposition purposes. (PLR 201710006)

Tax deadlines loom

/in /by

March 31 is the deadline for employers, businesses and others to file certain information returns with the IRS electronically. Forms with a March 31 deadline include W-2G (Certain Gambling Winnings), 1096 (Annual Summary and Transmittal of U.S. Information Returns), 1098 (Mortgage Interest Statement), 1098-T (Tuition Statement), 1099 (except 1099-MISC for nonemployee compensation), 3921 (Exercise of an Incentive Stock Option Under Section 422(b)), and 8027 (Employer’s Annual Information Return of Tip Income and Allocated Tips)