Late last year, the Internal Revenue Service announced a phased rollout of reporting requirements for businesses that receive at least some of their income through third-party payment apps. If you are a small business owner who receives money for goods and/or services through Venmo, PayPal, eBay, Etsy, or other third-party apps, you may be receiving a 1099-K form from them and there are some things you should know. When Is A 1099 Form Used? The IRS uses 1099 forms for reporting income earned outside of a traditional employer. Generally, the most common type of form used by self-employed individuals and…

As America’s housing affordability crisis continues, New York and other cities are taking steps to address the problem. I recently was interviewed about New York City’s approach by Bruce Cory for Urban Matters of the New School’s Center for New York City Affairs, an outlet for policy debate. Here are edited excerpts; you can read the full two-part interview here and here, and you should check out the other great work the Center is doing. Urban Matters: “The greatest city in the world has just passed the greatest housing legislation in our history.” That’s how Mayor Eric Adams…characterized the New…

Tax season can be intimidating—especially if you’ve never filed a tax return. If this is the first time you’re filing a federal income tax return—or your 50th, but you feel like you need a refresher, here’s what you need to know. You may not need to file. First-time filers sometimes fall into the trap of believing that only full-time, permanent employees have to file and pay taxes. That’s not true. You may be required to file as a part-time or seasonal employee or an independent contractor. But, not everyone needs to file a tax return. Whether you need to file…

The Supreme Court is reshaping the role of the administrative state in the federal government. Last term, in Loper Bright Enterprises v. Raimondo, the Court abandoned what is commonly referred to as Chevron deference, after the 1984 Supreme Court case adopting the rule, whereby courts deferred to an agency’s interpretation of an ambiguous statute that the agency is charged with administering. In Corner Post, Inc. v. Board of Governors of the Federal Reserve System, the Court held that the six-year statute of limitations applicable to a facial challenge to a regulation begins to run when the plaintiff is harmed, not…

At a time of heightened political and legal scrutiny surrounding immigration and birthright citizenship, U.S. citizens married to non-citizen spouses face not only challenges related to their citizenship status but also in estate planning. The current political climate, with increasing anti-immigrant rhetoric and tightening immigration laws, leaves many wondering if tools like the Qualified Domestic Trust—a benefit for married couples where one spouse is a non-citizen—could be at risk. What Is A QDOT And How Does It Work? A QDOT is designed to help U.S. citizens married to non-citizen spouses manage estate taxes. Normally, U.S. citizens can gift assets to…

As President Trump continues to make sweeping changes to federal agencies, sections of the IRS’ Internal Revenue Manual have been taken offline. The Internal Revenue Manual (IRM) sets forth the policies, procedures, instructions, guidelines, and delegations of authority that control the operation and administration of the IRS. It details how the agency works and is a blueprint for not only IRS employees but also tax professionals. IRM provisions aren’t laws and aren’t intended to be treated as such—they do, however, provide some insight on how the IRS may regard a certain tax matter or criteria important to IRS agents and…

With tax season just getting started—the season officially opened on January 27, 2025—you’ve likely received several tax reporting forms already, or they are on their way. Here’s what you need to know about tax form due dates and what to do if you don’t receive yours on time. Forms W-2 Taxpayers are generally on the lookout for Form W-2, due on January 31, 2025. Your tax form is on time if it is properly addressed and mailed on or before the due date. If the normal due date falls on a Saturday, Sunday, or legal holiday, issuers have until the…

A Qualifying Terminable Interest Property (QTIP) trust can be an advantageous tool for married couples to utilize as part of their comprehensive estate plan. Contrary to what it sounds like, the QTIP isn’t something used to clean your ears, but rather a flexible option for allocating assets depending upon the financial and tax circumstances that exist upon the first spouse’s death, with particular attention to minimizing tax burdens and maintaining control over the property for the surviving spouse. What Is A QTIP Trust? The QTIP trust is a specific type of trust that allows a surviving spouse to receive income…

Federal tax law requires U.S. persons to report their receipt of foreign gifts or inheritances. IRS Form 3520, Annual Return to Report Transactions with Foreign Trusts and Receipt of Certain Foreign Gifts, is the appropriate information return. If a taxpayer misses the filing deadline, the IRS may impose significant penalties (up to 25% of the amount of the foreign gift or inheritance received). Taxpayers often miss the IRS Form 3520 filing deadline due to misunderstandings or ignorance of the reporting requirement. For example, taxpayers (and even their tax advisors) may reasonably believe that there is not a U.S. reporting obligation…

As part of his barrage of executive actions upon taking office, President Trump has halted federal payments on potentially trillions of dollars in federal spending that Congress has already approved, a step known as “impoundment.” Can the President legally refuse to spend funds already authorized in law, or set additional conditions on them? And how is this battle likely to play out? Trump’s Impoundment Freezes Spending Trump’s action is breathtaking in scope. Without clear guidance, agencies are suspending disbursements of funds that already have been approved, cutting back activities ranging across child care, cancer trials, scientific research, international aid, and…