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News and Highlights:

Florida Department of Revenue Announces New Proposed Rules

The Department of Revenue has added to its website for Proposed Rules an announcement for a Rule Development Workshop to be held, if requested in writing and not deemed unnecessary by the agency head, for the following rule sections: 

ADMINISTRATIVE RULES

• Rule 12-24.001, F.A.C., Scope of Rules
• Rule 12-24.002, F.A.C., Definitions
• Rule 12-24.003, F.A.C., Requirements to File or to Pay Taxes by Electronic Means
• Rule 12-24.004, F.A.C., Enrollment
• Rule 12-24.010, F.A.C., General Administrative Provisions; Voluntary Participation; Confidentiality; Granting of Waivers From Electronic Filing Requirements

COMMUNICATIONS SERVICES TAX

• Rule 12-19.100, F.A.C., Public Use Forms

Florida Auditor General Draft Rules – Effective 9-30-20

Chapter 10.550 – Local Governmental Entity Audits (Contains Florida Single Audit Act Information)

Rule effective 9-30-20

Summary of Changes:

1. Revised Rules to correct or update references to authoritative literature and effective date of the Rules.
2. Revised Preface To Rules and Rules 10.551(6), 10.554(1), 10.556(1), 10.557(3), and 10.558(3), to include financial audits of certain community redevelopment agencies.
3. Revised Rules 10.554(1)(l)1.h., 10.556(10), 10.557(3)(g), and 10.557(4) to remove extraneous notes.
4. Added Rule 10.556(10)(f) to include within the scope of the financial audit of certain community redevelopment agencies a determination of compliance with Sections 163.387(6) and (7), Florida Statutes.

FICPA State and Local Government Committee Response

FICPA Joins AICPA and Others in Letter Urging Congressional Support for State Tax Filing Relief for Remote Workers

The FICPA has joined more than 120 employers and organizations across the nation in signing a letter to Congressional leaders urging them to support state tax filing and withholding relief for remote workers during the pandemic by enacting Section 403 of S.4318, the American Workers, Families and Employers Assistance Act, and a related measure, S.3995, the Remote and Mobile Worker Relief Act.

The profession has consistently supported state tax filing relief for remote workers and advocated for its inclusion in federal legislation.

IRS Launches BBA Centralized Partnership Audit Website 

The IRS announces the launch of the Bi-Partisan Budget Act (BBA) Centralized Partnership Audit Regime website.

The Centralized Partnership Audit Regime replaces the Tax Equity and Fiscal Responsibility Act (TEFRA) and the electing large partnership rules. The centralized partnership audit regime, or BBA, is generally effective for tax years beginning January 2018. Under the BBA, the IRS generally assesses and collects any understatement of tax (called an imputed underpayment) at the partnership level.

A partnership is subject to BBA unless it is an eligible partnership and makes an annual election out of BBA on a timely filed Form 1065.  An eligible partnership is one with 100 or fewer partners, all of whom are either individuals, C corporations, foreign entities that would be treated as a C corporation if it were domestic, S corporations or estates of deceased partners.

The new webpage is intended to be a one-stop location for anything BBA-related, including regulations and other guidance and instructions related to the Partnership Representative (PR), electing out of the centralized audit regime, Administrative Adjustment Requests (AARs) and what to expect during a BBA administrative proceeding.

Taxpayers are encouraged to visit the website often for information, including electronic submission instructions of forms related to a BBA examination when those instructions are available.