Key Updates for CPAs

or tax practitioners , but rather are open to discussions to better understand what the struggles / issues are . They also acknowledged that they themselves are working through and figuring out the proper reporting with respect to digital assets in some cases .

· Another COT member shared that the requirement to obtain qualified appraisals is an obstacle for charitably inclined taxpayers who want to donate cryptocurrency and asked whether there are plans to ease up on this requirement . The IRS referenced IRS Chief Counsel Memo ( CCA 202302012 ) as the guideline in this area ( effectively saying there is no indication of easing up ).

Corporate Transparency Act ( CTA ) Andy Mattson , vice chair of the COT and chair of the AICPA ’ s International

Financial Reporting Standards Tax Task Force ( which covers the CTA ), provided attendees with an informative overview of the new beneficial ownership information reporting requirements under the Corporate Transparency Act . While a lot of information was covered , these were the basic things to know :

· Who is required to report : All domestic and foreign entities that have filed information or registration documents with a U . S . state or Indian tribe — unless they meet one of 23 exceptions . Many small businesses will be required to report , but are less likely to have advisers to help them comply .

· When : New entities created after Dec . 31 , 2023 , will have to file within 30 days . Existing entities created / registered before Jan . 1 , 2024 , will have to file by Jan . 1 , 2025 . While this is not an annual report , reporting companies must file within

30 days of any changes to previously reported information or to amend inaccuracies in previously filed reports .

· What information is required to be reported : In addition to the reporting company ’ s basic information , the name , birthdate , address , unique identifying number and issuing jurisdiction from an acceptable identification document of each beneficial owner — and an image of such document — will be required . It may not always be clear who all the beneficial owners are , as it includes any individual who exercises substantial control over a reporting company and

Aug 1 | Nov 14

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