The Biden administration’s decision to expand subsidies for hydrogen produced using fossil fuels with carbon capture alongside hydrogen from renewable sources undermines the intent of clean energy policies, risking environmental credibility and advancing greenwashing practices at a critical moment in the fight against climate change. Carbon capture is, at best, ineffective and, at worst, contributes to pollution. The revised rules, unveiled earlier this month, allow fossil fuel-derived hydrogen produced with offsetting carbon capture to qualify for the same tax incentives as hydrogen made from renewable energy sources like wind and solar. The intent is to accelerate the adoption of hydrogen…

The thousands of Californians who have lost their homes or businesses and the tens of thousands more who have been evacuated during the Los Angeles fires may be able to get some relief from the tax code and its guardian, the Internal Revenue Service. That help comes in the form of casualty loss deductions, more generous rules on tapping into retirement accounts and delayed deadlines for tax filings and payments. Of course, like just about everything related to taxes, it can get complicated. And the loss of personal records—or the fact that your tax pro, if you have one, may…

Wildfires in southern California have burned at least 47,000 acres in the Los Angeles area—the largest blaze, the Palisades Fire, has burned more than 23,000 acres. Thanks to dry and windy conditions, the fires are continuing to spread. At least 25 people are believed to have died in the fire as of Wednesday morning, and evacuation orders are in effect for 88,000 residents of Los Angeles (with about as many in evacuation warning zones, which means they may have to leave their homes at a moment’s notice). With so many people displaced—and first responders still battling blazes—many are asking what…

In this episode of Tax Notes Talk, two state tax policy experts discuss key tax proposals that states will likely address in 2025, including efforts to raise revenue and extend provisions of the Tax Cuts and Jobs Act. Tax Notes Talk is a podcast produced by Tax Notes. This transcript has been edited for clarity. David D. Stewart: Welcome to the podcast. I’m David Stewart, editor in chief of Tax Notes Today International. This week: state status update. As 2025 kicks off and I’m stuck at home due to the snow in the Washington, D.C., area, the tax world is…

It took just 90 minutes for retired Marine Stephen Lara to lose his life savings. Years later, however, Lara finally got justice. A Washoe County judge ruled that Nevada law enforcement cannot use an “equitable sharing” civil forfeiture program to bypass state laws that protect property owners. The decision shuts down what the Nevada Highway Patrol (NHP) argued was a legal loophole that allowed officers to seize property under state law and process it federally—while still receiving an up-to-80% kickback from the proceeds. The court rejected that claim, finding no such loophole exists under Nevada law. The case arose after…

Tony Townley, one of the founders of Zaxby’s, has won a substantial conservation easement refund in his suit against the United States for a tax refund related to disallowed deductions. We don’t get to know how big the refund was. He was looking for $43 million. Townley and the government entered into a confidential settlement. We know that the settlement amount was at least $2 million and one would think, given that it was a settlement, less than $43 million. The reason we know that the settlement was at least $2 million is that it was sent to the Joint…

There has been a lot of talk about tax code changes in 2025 between Republicans and President-elect Trump. Currently it looks like retirement plans will not change. Reducing income taxes is something everyone wants to do. If you own real estate or a small business, you have more ways to defer taxes. Most people do not own these types of investments. For those who do not, the simplest way to lower taxes is by contributing the most you can to your retirement accounts. Even if you do own real estate or a business, maxing out retirement contributions is still a…

The IRS is aiming to change the rules for tax professionals. The U.S. Treasury Department and the IRS have released proposed regulations to update the rules for certain tax professionals, including attorneys, certified public accountants (CPAs), and enrolled agents (EAs) who can practice before the IRS. These rules have long been found in Treasury Department Circular 230. Circular 230 Circular 230—technically titled Regulations Governing Practice before the Internal Revenue Service—is often called Circ 230. The rules in Circ 230 aren’t just guidelines—they are codified as Title 31 Code of Federal Regulations, Subtitle A, Part 10 (the cite can be found…

The process for IRS to seize foreign assets to satisfy tax debts is not simple. IRS use of the so-called John Doe summons is often a first step to identify possible tax evasion with offshore assets, as noted in the recent case involving Trident Trust. After resolution of the tax matter, the IRS is faced with collection of tax and penalties that are due and it may come as no surprise in many cases that the taxpayer is abroad and not willing to pay. When the IRS targets taxpayers with assets abroad—whether they are U.S. citizens or not—the collection challenge…

As 2025 begins, both individuals and business owners are focused on the filing of the 2024 tax returns. Although, this is important, January is the best time to think of the filing of the 2025 tax returns. There are certain methodologies to think of in connection to the best savings for 2025. Establishing A Business Bank Account And Credit Card Opening separate bank accounts and credit cards for your business is vital for effective financial management. This separation ensures that your personal and business finances remain distinct, which is crucial for accurate record-keeping. When evaluating financial products, consider factors like…