New Changes to Tax Return Filing Deadlines Create New Filing Rules for FBARs (FinCEN 114)

The due date for filing the report of Foreign Bank and Financial Accounts (FBAR) is now April 15 (or later if that falls on a Sunday or holiday) which coincides with the income tax return filing due date for individuals. Taxpayers can also ask for the same six-month extension for filing their FBARs that they can for their individual tax returns (and, presumably, asking for an income tax extension will automatically extend the FBAR due date). Before 2015, the FBAR due date was June 30, and that date could not be extended. Additionally, Congress permits the IRS to abate first-time penalties for taxpayers who miss the new April 15 FBAR deadline and don’t formally ask for an extension, as long as they file by October 15. FBAR’s still may only be filed online.

IRS Designation of Private Delivery Services (IRS Notice 2015-38)

The IRS recently updated it’s list of Private Delivery Services effective as of May 6, 2015, as follows:

1. FedEx First Overnight
2. FedEx Priority Overnight
3. FedEx Standard Overnight
4. FedEx 2 Day
5. FedEx International Next Flight Out
6. FedEx International Priority
7. FedEx International First
8. FedEx International Economy

1. UPS Next Day Air Early AM
2. UPS Next Day Air
3. UPS Next Day Air Saver
4. UPS 2nd Day Air
5. UPS 2nd Day Air A.M.
6. UPS Worldwide Express Plus
7. UPS Worldwide Express

You can read the full Notice by clicking here.

IRS Alert

The IRS has announced that for all U.S. estate tax returns (Form 706 or Form 706NA) filed on or after June 1, 2015, estate tax closing letters (the equivalent of a final assessment) will be issued only upon request by the taxpayer. The IRS further asks that filers wait at least four months after filing the return to make the closing letter request to allow time for processing. For questions about estate tax closing letter requests, the IRS says to call (866) 699-4083.  Click here to visit the IRS website.

We recommend that this be done in all cases, absent very special circumstances.

Ed and Sally frequently come across articles, blogs, websites, and the like that they believe will be of interest to clients and other professionals with whom they work. Among them, in no particular order, are the following:

Moodys Gartner Tax Law Blog

In addition, Ed and Sally prepare memos presenting their views or summarizing issues or laws that are integral to their practice. Below are some examples:

Summaries of U.S. Anti-Deferral Rules