During the week of July 2, President Donald Trump hinted at lowering the corporate tax rate as part of tax reform phase two. Republicans are “thinking about bringing the 21 percent [corporate tax rate] down to 20,” Trump said in a televised interview. Congress was in recess for the July Fourth holiday. Lawmakers are expected to return to Washington on July 9.
The IRS’s Active Directory suffers from security vulnerabilities, which could allow unauthorized personnel to gain access to critical IRS servers, applications and account management, according to a report by the Treasury Inspector General for Tax Administration (TIGTA) (TAXDAY, 2018/07/06, T.1).
Info Letters. IRS information letters have been released by the IRS National Office in response to a request for general information by taxpayers or by government officials on behalf of constituents or on their own behalf (TAXDAY, 2018/07/06, I.1).
Tax Tip. Taxpayers Advised to Perform a “Paycheck Checkup” (TAXDAY, 2018/07/06, I.2).
Chief Counsel Directory. The IRS has issued an updated version of the Chief Counsel telephone directory, dated July 3, 2018. The directory lists Chief Counsel contacts by code section and subject area (TAXDAY, 2018/07/05, I.1).
Tax Tip. Tips provided on how taxpayers can protect themselves from scammers (TAXDAY, 2018/07/05, I.2).
LB&I Guidance. The IRS Large Business and International (LB&I) Division has identified and selected five additional compliance campaigns. The IRS previously announced 13 campaigns on January 31, 2017, followed by an additional 11 on November 3, 2017 (TAXDAY, 2017/11/06, I.3), five more on March 13, 2018 and six more on May 21, 2018, (TAXDAY, 2018/05/22, I.2). These campaigns help LB&I move in the direction of issue-based examinations (TAXDAY, 2018/07/03, I.1).
Tax Tip. Taxpayers provided tips on ways to respond to IRS letter (TAXDAY, 2018/07/03, I.2).
IRB. The IRS has released I.R.B. 2018-27, dated July 2, 2018 (TAXDAY, 2018/07/02, I.1).
Disaster. The president has declared federal disaster areas in Hawaii. The disaster is due to severe storms, flooding, landslides and mudslides beginning on April 13, 2018 (TAXDAY, 2018/07/02, I.2).
Form 1040. Taxpayers will be able to file federal income taxes starting next filing season on a new postcard-sized Form 1040. The IRS officially released the draft 2018 Form 1040 on June 29 (TAXDAY, 2018/07/02, I.3).