BREAKING NEWS – Corporate Transparency Act on Hold
as of Monday, March 3, 2024
On Friday March 1, 2024, the U.S. District Court for the District of Alabama declared the Corporate Transparency Act (CTA) unconstitutional. In the case of National Small Business Association v. Yellen (Case No. 5:22-cv-01448) [1], initiated by the National Small Business United, the challenge was against the CTA’s mandate for small businesses to disclose their beneficial owners to the Financial Crimes Enforcement Network (FinCEN).
The ruling has the effect of suspending all BOI filing requirements for now, all enforcement actions, and all compliance concerns including questions of “practicing law without a license.” Experts believe the ruling will be appealed, probably to the Supreme Court, so this is a temporary filing requirement suspension until a final appeal is exhausted. Voluntary filing appears to still be allowed if for some reason a client desires to file.
Common Tax Refund Myths
There can be uncertainty around the timeline for receiving IRS tax refunds. Here are a few common questions related to these myths, along with real-world answers.
Q: Can I get a more accurate refund date by calling the IRS or my tax return preparer?
A: No. The IRS Where’s My Refund online portal (link below) and the IRS2Go app provide the most accurate information available on the timeline for your tax refund.
Q: Can I find out my refund date by ordering a tax transcript from the IRS?
A: This popular myth is false. Use the Where’s My Refund portal or IRS2Go app to get an estimated date for your refund.
Q: The Where’s My Refund Portal or IRS2Go app does not show a refund deposit or mailing date. Does this mean that the system is not working?
A: Generally, if these sources cannot provide a refund date, it just means that the IRS has not finished processing your return. While the IRS issues most refunds within 21 days for electronically filed returns, processing can take longer for a variety of reasons.
Q: What does it mean if Where’s My Refund shows a different refund amount than I expected?
A: Most likely, the IRS had to make an adjustment to your return. You will receive an official IRS or U.S. Treasury letter explaining any change to your refund amount.
Q: If I get a 2021 tax refund, does that mean my withholding amounts are correct for 2022?
A: Not necessarily. Regardless of your refund amount, it is always good to check the IRS Withholding Estimator Tool (link below) periodically to make sure you are staying on track.
IRS Where’s My Refund portal: https://www.irs.gov/refunds
IRS Withholding Estimator tool: https://apps.irs.gov/app/tax-withholding-estimator