When an electric vehicle glides silently past a gas station it is also rolling over a growing problem: underfunded roads. States are seeing gas tax revenues plummet due to EV and hybrid vehicle adoption, even as gas taxes continue to shoulder the cost of maintaining and expanding transportation infrastructure. As EV adoption accelerates, more states may be facing an infrastructure crisis—more cars on the roads, fewer dollars to fix those roads. The irony is apparent. The cleaner our transportation future becomes, the harder it gets to pay for the infrastructure that make their use possible. Crumbling Math of Gas Taxes…

In this episode of Tax Notes Talk, Tax Notes IRS reporter Benjamin Valdez provides an update on the IRS’s recent staffing developments and how they may affect filing season. 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: On the chopping block? In the first few months of his administration, President Trump has followed through on his promise to cut the federal workforce, and the IRS is no exception. We’ve previously discussed…

The rollover is the most frequent IRA transaction, but most people do only a few rollovers during their lifetimes. Mistake are a result of this inexperience, leading to unnecessary taxes and penalties. Most of the time a rollover that is done correctly is tax free. An rollover done incorrectly causes the rolled over amount to be included in gross income and taxed as ordinary income, except for any portion that was after-tax, or nondeductible, money. There also might be a 10% early distribution penalty for those under age age 59½. Plus, there can be a 6% penalty for making an…

The Financial Crimes Enforcement Network (FinCEN), a bureau of the Department of the Treasury, has recently adopted an interim final rule that narrows the scope of beneficial ownership information (BOI) reporting requirements under the Corporate Transparency Act (CTA). This new regulation exempts “domestic reporting companies” from the BOI reporting requirements and extends deadlines for “foreign reporting companies.” This article outlines these new regulations, their implications, and the rationale behind these changes. Initial Reporting Requirements The new regulations are primarily based on the Corporate Transparency Act (CTA), which was enacted as part of the broader Anti-Money Laundering Act of 2020. The…

We all know the ancient adage: An old tax is a good tax. From the policymaker’s perspective, this old saw probably has some merit; old taxes are more certain and more predictable than most fancy fiscal innovations. As Leonard Burman of the Urban-Brookings Tax Policy Center once told Marketplace, “it means that if the tax law survives long enough, we might just figure it out.” But from the taxpayer’s perspective, old taxes can also be bad ones — sometimes very bad. That’s been the case for local property taxes, according to Andrew Kahrl, a professor of history and African American…

With March Madness in full swing, we are constantly reminded that the players are now both student athletes and paid athletes deriving potentially significant income from Name, Image, and Likeness (NIL). This NIL income has significant tax consequences, and many states are using their tax law to maximize NIL’s effectiveness for their public universities. According to On3 NIL Valuations, Arch Manning — the presumptive starting quarterback for the University of Texas next season, has an NIL Valuation of $6.5 million per season. During his recruitment, Manning chose to play at Texas over the University of Alabama and the University of…

U.S. businesses no longer have to comply with the beneficial ownership information (BOI) reporting filing requirements of the Corporate Transparency Act (CTA). That’s the result of an interim final rule issued this month that removes the requirement for U.S. companies and U.S. persons to report beneficial ownership information to the Financial Crimes Enforcement Network (FinCEN). If finalized, the rule would exempt more than 99% of entities from reporting. (I know—”interim” and “final” don’t feel like they should be next to each other when the rule is not yet final. An interim final rule is one that’s issued without first issuing…

Tax season is here, and the deadline to file your 2024 federal income tax return (Form 1040) is April 15, 2025. How Many People File Income Taxes? In 2023, 163 million federal tax returns were filed. Just over half were completed by tax professionals. 135 million of those returns were filed by the deadline April 15, 2024. The rest—28 million—were filed after the deadline. 17% of taxpayers filed after the regular deadline. So far this year, the IRS has received 1.7% fewer tax returns compared to last year. What Is an Income Tax Extension? Filing Form 4868 gives you six…

The digital economy has become a driving force in global trade, reshaping how services are created, delivered, and consumed across borders. In 2022, digitally delivered services reached a value of $3.82 trillion worldwide, making up 54% of all services traded and growing at a steady annual rate of 8.1% since 2005. For many governments, the rapid rise of digital services represents not only a vehicle for innovation and economic diversification, but also a crucial source of tax revenue. In response, a growing number of countries are introducing tax measures targeting digital transactions, particularly those provided by non-resident entities. These efforts…

Tax Day is less than a month away. Are you ready? If the IRS tax filing statistics are any indication, taxpayers still aren’t rushing to file. Numbers for tax filing and processing of tax returns dipped again (☆), a trend that hasn’t changed since the season opened on January 27, 2025. Some taxpayers may be waiting to file–there’s still plenty of time. Others may be looking to file an extension. (☆) It’s free and easy and can help ensure a complete, correct return. Taxpayers sometimes push back, insisting that filing for an extension will cause a return to be flagged…