Issue Number: 2019-22
Register Now for the IRS Nationwide Tax Forums at
National Harbor, Chicago
IRS System Outage
U.S.-French Agreement on Foreign Tax Credits
Recent Office of Professional Responsibility
Department of Justice Judgments Against Tax Preparers
Amended Tax Relief for Oklahoma and South Dakota
Two Census Tracts in Puerto Rico Certified as Qualified
1. Register Now for the IRS Nationwide Tax Forums
at National Harbor, Chicago
Register now to
attend the 2019 IRS Nationwide Tax Forums at National Harbor outside
Washington, D.C., and in Chicago. Advance electronic copies of the seminar
materials are available online with your completed registration. For
seminar materials, visit www.irstaxforum.com and
use your user ID and password for access.
can earn up to 19 Continuing Education credits, hear directly from IRS Commissioner
Chuck Rettig and other senior IRS representatives, and network with peers
in the industry.
2. IRS System Outage
e-File (MeF) will be upgrading systems over the
summer and will be unavailable at certain times. The system shutdown will
occur in two phases:
• 12:01 a.m.
ET, July 18 to 12 p.m., July 22
• 12:01 a.m. ET, Aug. 3 to 12 p.m., Aug. 5
Plan accordingly as MeF submissions should not be made during the outage
periods. A Quick Alert bulletin will be issued once MeF
is available for submissions.
3. U.S.-French Agreement on Foreign Tax Credits
This year the United
States and the French Republic memorialized through diplomatic
communications an understanding that the French Contribution Sociale Generalisee (CSG) and
Contribution au Remboursement de la Dette Sociale (CRDS) taxes
are not social taxes covered by the Agreement on Social Security between
the two countries. Accordingly, the IRS will not challenge foreign tax
credits for CSG and CRDS payments on the basis that the Agreement on Social
Security applies to those taxes.
Taxpayers have 10 years to file a claim for refund of U.S. tax with respect
to a foreign tax credit. The 10-year period begins the day after the
regular due date for filing the return (without extensions) for the year to
which the foreign taxes relate. The IRS will update information on claiming
these taxes as foreign tax credits soon.
4. Recent Office of Professional Responsibility
The IRS Office of
Professional Responsibility (OPR) has released the names of 19 individuals
recently disciplined. Published sanctions include censure, suspension or
disbarment from practice before the Internal Revenue Service. The
individuals are listed in Internal Revenue Bulletin 2019-22, dated May 28,
2019, pages 1262-1264.
5. Department of Justice Judgments Against Tax
Department announced this week that a federal court in Orlando, Fla.,
recently barred a Florida tax return
preparer and businesses from preparing federal tax returns. the
government alleged that the defendants prepared tax returns making false or
fraudulent claims for the Earned Income Tax Credit. Among the misconduct
alleged, defendants reported phony business-related income and expenses,
and job-related expenses, and claimed false education credits and
Brooklyn tax preparer pleaded guilty to preparing fraudulent tax returns
for clients and himself. The preparer pleaded guilty to two counts of
aiding in the preparation of false income tax returns for clients, and one
count of filing a false income tax return for himself and faces a statutory
maximum of nine years in prison, as well as forfeiture and a fine.
In the past decade,
the Tax Division has obtained injunctions against hundreds of unscrupulous
tax preparers. To review information about these cases, visit the Justice
6. Amended Tax Relief for Oklahoma and South Dakota
Storm victims in the
Oklahoma counties of Alfalfa, Craig, Garfield, Kingfisher, Pawnee and Woods
now qualify for tax relief following
severe storms tornadoes, straight-line winds and flooding beginning May 7.
Additionally, storm victims in the South Dakota county of Turner qualify
for tax relief following
severe storms, straight-line winds and flooding that began on March 13.
Visit the IRS disaster relief page
for all updates on tax relief for disaster victims.
7. Two Census Tracts in Puerto Rico Certified as
Qualified Opportunity Zones
amplifies Notice 2018-48 by adding two additional census tracts located in
Puerto Rico as Qualified Opportunity Zones. The notice provides that each
population census tract that is a low-income community (LIC) in Puerto Rico
will be certified and designated as a Qualified Opportunity Zone effective
Dec. 22, 2017. Therefore, 100 percent of Puerto Rico’s LICs are deemed certified.
Updates on this and other TCJA provisions can be found on the Tax Reform page of IRS.gov.