In the IRS IR-2024-262, the IRS estimated that there is a tax gap of around $696 billion for 2022. Even if the IRS mentioned in their communication that 85% of taxpayers are compliant, the 15% remaining is broken down in the following three areas (extracted directly from IRS communications): "... Non-filing, which means tax not
American Rescue Plan tax credits available to small employers to provide paid leave to employees receiving COVID-19 vaccines and that credit should be claimed in the 941 Employer's Quarterly Federal Tax Return. We recommend business owners to reach out to the payroll department or payroll company to get advantage of this tax credit. For further
The paid sick and family leave credits, which previously were available only until the end of 2020, have been extended for periods of leave taken through March 31, 2021. The IRS has released IR-2021-26 to provide more clarity on this topic. See link to FAQs below. The following information was released through the IRS Newswire
