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Dec 12, 2013

U.S. Treasury official urges Senate action on tax treaties

WASHINGTON (Reuters) – A U.S. Treasury official on Thursday called on the Senate to ratify five tax treaties the United States has signed with other nations but that have languished without a vote since 2011.

Though tax treaties previously have routinely won Senate approval, they have recently fallen victim to partisan gridlock despite a corporate lobbying effort to get them ratified.

Dec 11, 2013

Smooth sailing at Senate panel for Obama’s nominee to head IRS

WASHINGTON (Reuters) – The top Republican on the U.S. Senate’s tax-writing panel on Wednesday endorsed President Barack Obama’s nominee to be the next chief of the Internal Revenue Service, smoothing the path for what will likely be a prompt Senate confirmation.

John Koskinen, in a hearing before the Senate Finance Committee, promised to address concerns raised by Republicans about new IRS rules for tax-exempt organizations and the agency’s implementation of the 2010 Affordable Care Act.

Dec 10, 2013

Hearing cut short on Obama’s nominee to head U.S. IRS

WASHINGTON, Dec 10 (Reuters) – A U.S. Senate committee
hearing on President Barack Obama’s nominee to be the new head
of the Internal Revenue Service was unexpectedly cut short on
Tuesday, with no clear schedule set for reconvening or holding a
vote.

John Koskinen, a 74-year-old lawyer with little tax
experience, gave an opening statement to the Senate Finance
Committee and took two questions before Senator Max Baucus,
committee chairman, called a halt to the hearing.

Dec 10, 2013

Obama’s new tax man pledges to restore trust in beleaguered IRS

WASHINGTON (Reuters) – President Barack Obama’s nominee to be the new head of the U.S. Internal Revenue Service on Tuesday pledged to restore the public’s trust in the tax agency and called on Congress to stop cutting the beleaguered IRS’s budget.

John Koskinen, a 74-year-old lawyer with little tax experience, faced members of the Senate Finance Committee at a hearing on his nomination. The panel was likely to vote in favor of his nomination before the end of the year, sending it to the full Senate for consideration, lobbyists said.

Dec 9, 2013

With IRS under fire, Obama’s tax man choice faces Congress

WASHINGTON (Reuters) – President Barack Obama’s choice for U.S. tax commissioner, a multimillionaire with a reputation for troubleshooting, appears headed for confirmation, but on Tuesday will first face some tough questioning in Congress.

The nominee to head the Internal Revenue Service, Democrat John Koskinen, is a 74-year-old lawyer with little tax experience who stepped in to run mortgage finance giant Freddie Mac five years ago when it was engulfed by the credit crisis.

Dec 3, 2013

Supreme Court rules Texas billionaire owes tax shelter penalty

WASHINGTON (Reuters) – The U.S. Supreme Court on Tuesday unanimously ruled that Texas billionaire Billy Joe “Red” McCombs must pay steep penalties to the Internal Revenue Service related to more than $45 million he tried to shield from taxes.

The decision could lead to the payment of hundreds of millions of dollars in penalties and interest that the government has alleged other taxpayers owe in disputes similar to the McCombs case.

Dec 2, 2013

U.S. top court declines to hear online retailers tax case

WASHINGTON (Reuters) – The U.S. Supreme Court declined on Monday to tackle the long-standing question of whether Internet retailers like Amazon.com Inc should be required to collect sales taxes in states where they have no physical presence.

In a case brought by Amazon and Overstock.com Inc, the Supreme Court was asked to decide whether a New York state law that requires online retailers to collect taxes is valid under the U.S. Constitution. Because the court declined to hear the case, the retailers’ challenge to the law has failed.

Dec 2, 2013

U.S. Supreme Court throws out Ford tax ruling

WASHINGTON (Reuters) – The U.S. Supreme Court on Monday sent a $470 million tax dispute between Ford Motor Co and the Internal Revenue Service back to a lower court for further review.

The justices threw out a 6th U.S. Circuit Court of Appeals ruling in favor of the government and asked the court to take a second look at the case.

Nov 26, 2013

IRS proposes new rules for tax-exempt political groups

WASHINGTON (Reuters) – The Obama administration proposed new rules on Tuesday that would restrict the political advertising and fundraising abilities of certain tax-exempt groups, which were at the center of the Internal Revenue Service’s Tea Party targeting scandal this year.

According to a Treasury Department statement, the proposed rules will change the definition of “social welfare” in the 501(c)(4) section of the tax code, which allows tax-exempt groups to engage in limited campaigning activities.

Nov 25, 2013

Ingersoll-Rand fights IRS ‘treaty shopping’ case in U.S. Tax Court

WASHINGTON, Nov 25 (Reuters) – Manufacturer Ingersoll-Rand
Plc has gone to court to challenge a $109.8 million tax
bill from the U.S. Internal Revenue Service for alleged “treaty
shopping” whereby multinationals move money around the world for
tax benefits.

In U.S. Tax Court documents filed this month, the IRS said
Ingersoll owed U.S. taxes and penalties on money it moved in
2002 into Bermuda, where the company was headquartered at the
time.