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IRS Reminder for Oct. 15 Filing Deadline (IR-2025-104)Date: Oct 14, 2025. Applies to tax year 2024 returns for those who filed extensions.Deadline: Oct 15 (midnight). IRS urges e-filing and electronic payments; paper filers can use Form 1040 and instructions for mailing addresses.Government shutdown note: Filing and payment obligations remain in effect; IRS will accept/process payments by mail or electronically.Possible extensions:

Treasury/IRS Penalty Relief for Remittance Transfer Providers (IR-2025-102)Date: Oct 7, 2025. IRS issues Notice 2025-55 granting limited deposit penalty relief for the first three quarters of 2026 related to the new remittance transfer excise tax under the One, Big, Beautiful Bill (OBBB).Relief conditions: Providers avoid deposit penalties if they make timely deposits (even if miscalculated) and pay any underpayment by the Form 720 due date for that quarter.Safe harbor: Providers may use excise tax deposit safe harbor rules for Q1–Q3 2026 despite underpayments, but must meet the reasonable cause standard.Tax details: Starting Jan 1, 2026, providers must collect a 1% tax on certain remittances made with cash, money orders, cashier’s checks, or similar instruments; make semimonthly deposits; and file quarterly returns. First deposit due Jan 29, 2026.More info: See Notice 2025-55 and Form 720 guidance.

IRS Appeals Launches Post Appeals Mediation (PAM) PilotThe IRS Independent Office of Appeals launched a two-year pilot to make PAM more attractive to taxpayers.Under the pilot, mediation cases are reassigned to an Appeals team not connected to the original case to provide a fresh, expedited look; other PAM features remain unchanged.PAM occurs after an unsuccessful Appeals process and typically lasts one day, with a neutral Appeals mediator; taxpayers may add a co-mediator at their expense.Goal: enhance ADR offerings, improve taxpayer experience, and encourage faster, mutually acceptable resolutions before potential litigation.Appeals also promotes broader use of its five ADR programs: Fast Track Settlement, Fast Track Mediation—Collection, PAM, Rapid Appeals Process, and Early Referral.Contact for questions: ap.adr.programs@irs.gov.

IRS Extends Feedback Period on Form 6765 (Research Credit)Comment period for draft Instructions to Form 6765 extended through March 31, 2026; IRS plans revised instructions in Jan 2026 (for TY 2025/processing 2026).Section G of Form 6765 will be optional for all filers for tax year 2025.Starting tax year 2026 (processing 2027), Section G becomes mandatory for all filers, with optional reporting for:Research credit claim transition period (45 days to perfect refund claims) extended through Jan 10, 2027.Refund claims postmarked after June 18, 2024 must identify business components, related research activities, and totals for qualified wages, supplies, and contract research (Form 6765 may be used).

IRS Announces New Relief for Taxpayers Affected by Events in IsraelThe IRS is postponing many tax filing and payment deadlines to Sep 30, 2026, for eligible individuals and businesses affected by ongoing events in Israel.Covered by Notice 2025-53, building on Notice 2023-71 and Notice 2024-72; collectively, deadlines from Oct 7, 2023 through Sep 30, 2026 may be postponed for eligible taxpayers.Applies to affected taxpayers in Israel, the West Bank, and Gaza; returns and taxes due in the covered period can be filed/paid by Sep 30, 2026.Automatic relief for taxpayers whose principal residence or business is in the covered area (based on prior filings).Others who qualify but have addresses outside the covered area can call the IRS disaster hotline at 866-562-5227 (or +1-267-941-1000 internationally) to request relief.

IRS to Phase Out Paper Tax Refund Checks📢 Key Update:Starting Sept. 30, 2025, the IRS (with Treasury) will phase out paper tax refund checks for individual taxpayers, per Executive Order 14247.This is the first step in a broader transition to electronic payments.💡 Why the Change?Protect taxpayers: Paper checks are 16x more likely to be lost, stolen, altered, or delayed than electronic refunds.Faster refunds: Direct deposit refunds usually arrive in <21 days; mailed checks may take 6+ weeks.Cut costs: Processing electronic payments is cheaper and more efficient.👩‍👩‍👧 Impact on Taxpayers:Filing unchanged — taxpayers continue filing as usual.Refunds go digital — mostly via direct deposit or other secure methods.For the unbanked: Options will include prepaid debit cards or digital wallets.Act now: IRS urges taxpayers to have valid banking info or consider opening a low-cost/free account (FDIC GetBanked, MyCreditUnion.gov).📊 Context:In the 2025 tax season, IRS issued 93.5M refunds → 93% by direct deposit, only 7% by paper check.🔜 Next Steps:Executive Order 14247 also applies to payments made to the IRS (like taxes owed) — current systems remain until new guidance is issued.IRS will publish detailed filing/payment guidance before the 2026 season.Updates will be posted on IRS.gov and shared nationwide.👉 Bottom Line: Paper refund checks are ending. The IRS is going digital to boost security, speed, and savings, with special support to help unbanked taxpayers transition smoothly.

Treasury & IRS Guidance on Tipped Occupations (One, Big, Beautiful Bill)Context:Guidance issued under the “no tax on tips” provision of the One, Big, Beautiful Bill.Proposed regulations identify which occupations customarily receive tips and define what counts as qualified tips eligible for deduction.Nearly 70 occupations are listed, ranging from bartenders to water taxi operators.Occupation Categories (Treasury Tipped Occupation Codes):100s – Food & Beverage Service200s – Entertainment & Events300s – Hospitality & Guest Services400s – Home Services500s – Personal Services600s – Personal Appearance & Wellness700s – Recreation & Instruction800s – Transportation & DeliveryDefinition of Qualified Tips:Must be cash or cash-equivalent, e.g., check, card, gift card, electronic payment (excluding most digital assets).Must be voluntary customer payments, or received via mandatory/voluntary tip pools.Cannot be service charges automatically added to bills (e.g., a restaurant’s 18% charge for large parties).Excludes illegal activity-related payments.Public Input:Comments due by Oct. 23, 2025, submitted via Regulations.gov.Effective Impact:Clarifies which workers can benefit from tip deductions.Narrows definition of qualified tips to ensure compliance and prevent abuse.

IRS Assesses $162 Million in Penalties Over False Tax Credit Claims Tied to Social MediaThe IRS has issued a strong warning about a surge in fraudulent tax schemes promoted on social media, which encourage taxpayers to claim false credits like the Fuel Tax Credit or Sick and Family Leave Credit. Since 2022, these scams, often spread by individuals posing as tax experts, have led to thousands of inaccurate returns, resulting in denied refunds and over $162 million in penalties across more than 32,000 cases.Key Takeaways:Scam Traits: Look out for claims that "everyone qualifies" for credits, promises of "easy" or "fast" refunds, instructions to file amended returns without eligibility, and encouragement to ignore IRS letters.Consequences: Falling for these scams can lead to delayed or denied refunds, a $5,000 civil penalty for frivolous returns, and further IRS enforcement.IRS Advice: Taxpayers who have filed incorrect returns should amend them immediately using Form 1040-X, respond promptly to IRS notices, and seek help from reputable tax professionals or IRS.gov. Suspected scams should be reported to phishing@irs.gov or TIGTA.The IRS urges taxpayers to exercise caution with social media tax advice and to verify all claims with official sources.

IRS News Release: Security Summit reminds tax pros to guard against identity theft (Aug. 26, 2025)The IRS and its Security Summit partners closed out their “Protect Your Clients; Protect Yourself” summer awareness campaign by urging tax professionals to remain vigilant against identity theft. Nearly 300 data breaches reported in the first half of 2025 affected as many as 250,000 clients. The Security Summit — a collaboration of the IRS, state tax agencies, industry, and professionals since 2015 — highlighted threats such as fake “new client” phishing emails, malware, social media misinformation, and scams impersonating the IRS.Tax pros are encouraged to watch for red flags like unauthorized IRS Online Account access, rejected returns linked to stolen SSNs, or unusual computer activity. Key prevention tools include creating a Written Information Security Plan (WISP), using the “Security Six” (antivirus, firewalls, backup systems, encryption, MFA, VPNs), and enrolling clients in the IRS Identity Protection PIN program.In case of a breach, practitioners must immediately report incidents to the IRS Stakeholder Liaison, notify state tax agencies, and inform affected clients. The campaign emphasizes staying informed with IRS publications (e.g., 5708, 5293, 4557) and resources like Identity Theft Central. The initiative also coincided with the IRS Nationwide Tax Forum events in summer 2025.

Summary:The IRS issued frequently asked questions (FAQs) in Fact Sheet 2025-05 to provide guidance on modifications to several energy-related tax provisions under the One Big Beautiful Bill Act (OBBB). These FAQs clarify the accelerated termination dates for energy credits and deductions, including sections 25C, 25D, 25E, 30C, 30D, 45L, 45W, and 179D.Key Points:Guidance on expiring energy credits and deductions under OBBBClarifications on the availability of the new clean vehicle creditInformation on the energy efficient home improvement creditDetails on the residential clean energy creditAdditional information about reliance on these provisions

Summary:The IRS is inviting the public to participate in an anonymous feedback survey on tax preparation and filing options. This survey is part of the Department of Treasury and IRS efforts to fulfill a reporting requirement to Congress under the One Big Beautiful Bill Act. The law mandates that Treasury deliver a report to Congress by October 2, 2025, addressing key issues related to free tax filing options for the public.Key Details:Public feedback survey open through September 5, 2025Survey participation is anonymousThe report to Congress will inform future policies on free tax filing optionsThe survey can be accessed via the Free Online Tax Preparation Feedback Survey or the IRS.gov landing page

Summary:The IRS and Security Summit partners highlight three core defenses against tax-related identity theft: multi-factor authentication (MFA), Identity Protection PINs (IP PINs), and IRS Online/Tax Pro Accounts. The update stresses that MFA is now a federal requirement under the FTC Safeguards Rule for protecting client data and encourages all taxpayers to enroll in IP PINs and set up secure IRS Online Accounts.Key takeaways:MFA is mandatory for tax professionals and strongly recommended wherever client data is accessed or stored. It blocks attacks that exploit weak or stolen passwords.IP PINs are six-digit codes that help prevent fraudulent e-filing using someone’s SSN. The program is voluntary, identity-verified, and refreshed annually.IRS Online Account helps taxpayers securely view account details and prevents creation of fraudulent accounts. Tax Pro Account lets practitioners manage authorizations and request POA/Tax Information Authorization digitally.The Security Summit (IRS, states, industry, and tax pros) continues its annual “Protect Your Clients, Protect Yourself” series and features security sessions at the Nationwide Tax Forum events in Orlando (Aug 26), Baltimore (Sept 9), and San Diego (Sept 16).Action steps:For taxpayers: Create an IRS Online Account; enroll in an IP PIN after verifying your identity; never share your IP PIN except with the IRS and a trusted preparer; beware of calls/emails/texts asking for the IP PIN (the IRS won’t ask).For tax pros: Enable MFA everywhere (tax software, cloud storage, remote access, practice management tools); evaluate MFA methods regularly; never share usernames; use Tax Pro Account to manage client authorizations; ensure firm-wide compliance with the FTC Safeguards Rule.Notable reminders:Tax pros cannot obtain IP PINs for clients—clients must get their own.MFA should be used on both local systems and any software or services that store client data.Identity theft victims will continue to receive annual IP PINs automatically.Resources to search on IRS.gov:“Get an IP PIN”“IRS Online Account”“Tax Pro Account”“Security Summit” and Nationwide Tax Forum details