On July 8, 2022, Pennsylvania Governor Tom Wolf signed into law HB 1342 (Act 53), which amends the Tax Reform Code.

Do you own cryptocurrency? Taxes aren’t the first thing most investors consider when jumping into the world of Bitcoin and other digital assets. However, the IRS is cracking down with a new program, Operation Hidden Treasure, to catch crypto tax evaders.

The Department of Revenue previously issued temporary guidance relating to telework and associated tax implications during the COVID-19 pandemic: Telework During the COVID-19 Pandemic. This prior guidance expires on June 30, 2021.

The Department of Revenue has issued updated guidance on telework, effective July 1, 2021. Additional details are included below.

On May 28, 2021, President Biden’s administration unveiled its proposed budget for fiscal year 2022. The administration’s budget recommendations are, of course, only recommendations. Congress can accept, reject or modify them as part of the legislative process, as well as add other proposals. It can also choose to offset all or only a part of any spending programs it approves. As a result, we want you to be aware of the following tax proposals from the President’s budget. More information will be released as we gain clarity on these items.

Since the enactment of the Tax Cuts and Jobs Act (TCJA), an individual’s federal tax deduction for state and local taxes (SALT) paid during the calendar year is limited to $10,000. The SALT limitation impacted many individual partners and shareholders. Several states responded to this limitation by issuing workarounds to enact entity-level taxes for pass-through entities where the entity pays the tax instead of its owners and then deducts the full amount of state taxes paid, thus avoiding the $10,000 limitation at the individual level. It was uncertain whether the IRS would accept this entity-level tax workaround.