Franchise Tax Board Penalties: Accuracy-Related Penalties, Part III: Substantial Misstatements

We continue our discussion of Franchise Tax Board (FTB) accuracy-related penalties with penalties relating to substantial understatements or misstatements of income and asset values. Substantial understatement of income tax obligations Individual taxpayers who understate their tax liabilities by more than 10% of the correct amount or $5,000, may be subject...

Major tax bill clears U.S. Senate by 51-49 margin, Part II

Other deductions will be eliminated entirely, including but not limited to: Home office expense deductions Unreimbursed employee expense deductions, such as those for teacher’s out-of-pocket classroom expenses State and local income tax or sales tax deductions for individuals, which would be devastating for taxpayers in high tax states, particularly California...