Federal Tax Updates

Roger sits down with tax controversy attorneys Jessica Marine and Peter Haukebo of Frost Law to unpack a court ruling most tax pros haven't heard of — but probably should act on before July. The Kwong case could mean significant interest and penalty refunds for clients who filed late during the COVID pandemic, and the window to file a claim is closing fast. They also dig into where ERC cases stand now, including why blanket IRS denials are clogging the appeals pipeline and what practitioners should be watching.SponsorsPadgett - Contact Padgett or Email Jeff PhillipsGet NASBA Approved CPE or IRS Approved CELaunch the course on EarmarkCPE to get free CPE/CE for listening to this episode.Links mentioned in this episodeChapters(00:00) - Welcome and Setup (02:21) - Meet Frost Law Firm (04:34) - Jessica Tax Court Experience (06:23) - Why Tax Controversy Matters (07:10) - Kwong Case Overview (09:43) - Disaster Deadline Rules (11:37) - Refund Claims and Deadlines (14:18) - IRS Response and Strategy (18:27) - Filing Form 843 Right (26:34) - ERC Meets Kwong (30:05) - ERC Audits and Mediation (31:22) - Appeals Backlog Deadlines (32:25) - Why ERC Won’t Die (33:57) - PEO Refund Roadblocks (37:03) - Where ERC Litigation Stands (39:19) - IRS Service Breakdown (44:27) - Tariffs Ruling Refunds (49:09) - When to Call Frost (54:43) - New SBA EIDL Collections (55:42) - Tariff Refunds Non Importers (57:52) - Final Thanks Sign Off Follow the Federal Tax Updates Podcast on Social Mediatwitter.com/FedTaxPodfacebook.com/FedTaxPodlinkedin.com/showcase/fedtaxpodConnect with the Hosts on LinkedInRoger HarrisAnnie SchwabReviewLeave a review on Apple Podcasts or PodchaserSubscribeSubscribe to the Federal Tax Updates podcast in your favorite podcast app!This podcast is a production of Earmark MediaThe full transcript for this episode is available by clicking on the Transcript tab at the top of this pageAll content from this podcast by SmallBizPros, Inc. DBA PADGETT BUSINESS SERVICES is intended for informational purposes only.

Roger and Annie check in at the 40% mark of filing season, covering a flurry of legislative activity — from a bipartisan Senate bill that would finally create minimum standards for tax preparers, to new crypto regulatory frameworks and the surprisingly complex mess around car loan interest deductions. They also break down what the IRS CEO told Congress this week, including some filing season stats that are better than expected, and some quality concerns that aren't.SponsorsPadgett - Contact Padgett or Email Jeff PhillipsGet NASBA Approved CPE or IRS Approved CELaunch the course on EarmarkCPE to get free CPE/CE for listening to this episode.Links mentioned in this episodeChapters(00:00) - Tax Season Check In (02:38) - Bipartisan IRS Service Bill (03:48) - Modernizing IRS Tech (08:07) - Tax Preparer Standards (12:17) - OBBBA 2.0 Talk (16:19) - Healthcare Proposals (17:48) - Crypto Regulation Bills (21:45) - Bills That Passed (24:47) - Scams and Security Focus (28:33) - Filing Season Updates (29:03) - IRS Service Struggles (30:26) - Union Morale Fallout (32:25) - Notices and Forms Update (34:28) - CEO Hearing Highlights (37:13) - Audits and Tax Gap (39:19) - New Deductions Growing Pains (40:51) - Car Loan Interest Confusion (48:03) - ERC and Other Fraud Lessons (50:32) - Tariffs and Refund Questions (52:17) - AI Tax Prep Threat (54:04) - Wrap Up and Sign Off Follow the Federal Tax Updates Podcast on Social Mediatwitter.com/FedTaxPodfacebook.com/FedTaxPodlinkedin.com/showcase/fedtaxpodConnect with the Hosts on LinkedInRoger HarrisAnnie SchwabReviewLeave a review on Apple Podcasts or PodchaserSubscribeSubscribe to the Federal Tax Updates podcast in your favorite podcast app!This podcast is a production of Earmark MediaThe full transcript for this episode is available by clicking on the Transcript tab at the top of this pageAll content from this podcast by SmallBizPros, Inc. DBA PADGETT BUSINESS SERVICES is intended for informational purposes only.

Roger and Annie check in mid-tax-season with a candid look at what's actually landing on desks — from W-2s showing overtime pay coded a half-dozen different ways to clients convinced their entire salary qualifies for the new deduction. They also break down the meal and entertainment changes taking effect in 2026, including why your office coffee pot is now a tax problem.SponsorsPadgett - Contact Padgett or Email Jeff PhillipsGet NASBA Approved CPE or IRS Approved CELaunch the course on EarmarkCPE to get free CPE/CE for listening to this episode.Chapters(00:00) - Mardi Gras Catch Up (01:53) - Tax Season Pulse Check (05:17) - New Tips and Overtime Law (07:07) - Tracking and Payroll Prep (10:58) - New Fees and Tip Confusion (12:46) - W2 Example Box 14 Codes (16:25) - Should We Ask About Overtime (20:36) - OT Premium Smell Test (24:39) - Weird W2 Overtime Codes (27:04) - Pay Stub Premium Math (29:25) - Pay Stub Math Costs (29:55) - Overtime Premium Basics (32:13) - W2 Box 14 Overtime (33:27) - When Details Are Missing (35:35) - Double Overtime Limits (36:18) - Salary vs Overtime Claims (38:36) - Due Diligence and Fees (41:01) - Meals Rules Change 2026 (45:01) - Zero Deduction Office Meals (45:37) - Coffee and Snacks Debate (48:59) - Client Education and COA (51:48) - IRS Paper Checks Ending (55:49) - Wrap Up and Next Steps Follow the Federal Tax Updates Podcast on Social Mediatwitter.com/FedTaxPodfacebook.com/FedTaxPodlinkedin.com/showcase/fedtaxpodConnect with the Hosts on LinkedInRoger HarrisAnnie SchwabReviewLeave a review on Apple Podcasts or PodchaserSubscribeSubscribe to the Federal Tax Updates podcast in your favorite podcast app!This podcast is a production of Earmark MediaThe full transcript for this episode is available by clicking on the Transcript tab at the top of this pageAll content from this podcast by SmallBizPros, Inc. DBA PADGETT BUSINESS SERVICES is intended for informational purposes only.

NAEA President Jennifer MacMillan joins Roger and Annie to talk about what she's hearing from enrolled agents on the front lines this tax season — including an IRS that's putting undertrained staff on the phones, backlogs that aren't getting resolved, and one practitioner who made 25 calls on a single issue without ever getting an answer. They also dig into the bipartisan push for minimum preparer standards, NAEA's win on Oregon licensing, and why Jennifer thinks managing client expectations around social security, tips, and overtime is going to be one of the biggest challenges of the season.SponsorsPadgett - Contact Padgett or Email Jeff PhillipsGet NASBA Approved CPE or IRS Approved CELaunch the course on EarmarkCPE to get free CPE/CE for listening to this episode.Links mentioned in this episodeChapters(00:00) - Welcome to Federal Tax Updates (03:55) - Jennifer's Journey (05:55) - Selling a Tax Practice the Smart Way: Timing, Systems, and Profitability (08:36) - What NAEA Offers: Community Support, Web Board, and Member Resources (09:54) - IRS Service Breakdown: Phone Lines, Staffing Losses, and Backlog Reality (12:43) - Real-World IRS Call Horror Stories: POA Issues, Callbacks, and TAS Limits (15:09) - Returns & Refunds: E-File Works—But Humans and Paper Still Slow Everything (16:34) - Managing Client Expectations in a Misinformation Tax Year (20:32) - Pricing Your Expertise: Value Billing, Fee Schedules, and Getting Paid for Knowledge (26:30) - Why Community Matters + The Accounting Today Webinar Recap (28:43) - Tax season prep: new laws, IRS notices & online accounts (30:59) - DC advocacy + NAEA Fly-In (May 5–6): what to expect (32:05) - Minimum standards for paid preparers: the bipartisan push (34:50) - Why regulation matters: tax gap, weak enforcement & bad actors (41:18) - State battles: Oregon licensing surprise + Minnesota win (48:09) - Join NAEA: member benefits, volunteering & community (51:07) - Wrap-up: upcoming topics and tax-season sendoff Follow the Federal Tax Updates Podcast on Social Mediatwitter.com/FedTaxPodfacebook.com/FedTaxPodlinkedin.com/showcase/fedtaxpodConnect with the Hosts on LinkedInRoger HarrisAnnie SchwabReviewLeave a review on Apple Podcasts or PodchaserSubscribeSubscribe to the Federal Tax Updates podcast in your favorite podcast app!This podcast is a production of Earmark MediaThe full transcript for this episode is available by clicking on the Transcript tab at the top of this pageAll content from this podcast by SmallBizPros, Inc. DBA PADGETT BUSINESS SERVICES is intended for informational purposes only.

Roger and Annie welcome back Thad Inge to decode what's happening in Washington DC as filing season kicks off. With potential government shutdowns, billion-dollar IRS budget cuts, and 25% of IRS staff gone through early retirements, uncertainty looms over tax professionals trying to implement retroactive provisions for overtime and tips. The conversation shifts to the renewed push for minimum tax preparer standards and why getting bipartisan legislation passed might be harder than ever in an election year.SponsorsPadgett - Contact Padgett or Email Jeff PhillipsGet NASBA Approved CPE or IRS Approved CELaunch the course on EarmarkCPE to get free CPE/CE for listening to this episode.Connect with Thad IngeLinkedIn: https://www.linkedin.com/in/thad-inge-9342155Website: https://www.vsadc.com/Chapters(00:00) - Introduction and Greetings (03:15) - Congressional Updates and Government Shutdown Concerns (09:19) - IRS Staffing and Service Levels (11:31) - Tax Legislation and Employer Guidance (16:08) - State Tax Variations and Software Updates (19:35) - IRS Budget Cuts and Inflation Reduction Act Funds (25:25) - Student Loan Offsets and Political Implications (28:31) - Potential Tax Legislation and ACA Premium Tax Credits (29:35) - Trump's Healthcare Plan and Legislative Challenges (30:10) - Tax Extenders and Bipartisan Cooperation (32:36) - Child Tax Credit and Legislative Vehicles (33:24) - The Legislative Process and Unanimous Consent (37:02) - Senator Tillis and Party Defections (40:10) - Minimum Standards for Tax Preparers (53:57) - Incentivizing E-Filing for Small Businesses (58:12) - Conclusion and Upcoming Tax Season Follow the Federal Tax Updates Podcast on Social Mediatwitter.com/FedTaxPodfacebook.com/FedTaxPodlinkedin.com/showcase/fedtaxpodConnect with the Hosts on LinkedInRoger HarrisAnnie SchwabReviewLeave a review on Apple Podcasts or PodchaserSubscribeSubscribe to the Federal Tax Updates podcast in your favorite podcast app!This podcast is a production of Earmark MediaThe full transcript for this episode is available by clicking on the Transcript tab at the top of this pageAll content from this podcast by SmallBizPros, Inc. DBA PADGETT BUSINESS SERVICES is intended for informational purposes only.

Roger and Annie open 2026 by reviewing the major provisions from the Big Beautiful Bill that will affect this tax season, including no tax on tips, overtime exemptions, senior deductions, and car loan interest. They shift focus to practice management essentials that often get overlooked, discussing how to set boundaries with clients, right-size your firm, avoid becoming a bottleneck, and build a sustainable business model that doesn't require working 90-hour weeks. The conversation covers everything from engagement letters and payment policies to contingency planning and post-season evaluation.SponsorsPadgett - Contact Padgett or Email Jeff PhillipsGet NASBA Approved CPE or IRS Approved CELaunch the course on EarmarkCPE to get free CPE/CE for listening to this episode.Links mentioned in this episodeChapters(00:00) - FTU 67 (00:37) - Overview of 2026 Tax Season Changes (02:31) - Key Tax Provisions for 2025 (05:16) - No Tax on Tips and Overtime (11:59) - Senior Citizen Deduction and Car Loan Interest (15:10) - Introduction of Trump Accounts (19:55) - Practice Management and Work-Life Balance (31:12) - The Importance of Delegation and Trust (31:59) - ‌ (34:54) - Contingency Planning for Unforeseen Circumstances (42:13) - Client Engagement and Scope Management (48:15) - Post-Tax Season Evaluation (53:13) - New Legislation and Client Communication (59:17) - Final Thoughts and Encouragement Follow the Federal Tax Updates Podcast on Social Mediatwitter.com/FedTaxPodfacebook.com/FedTaxPodlinkedin.com/showcase/fedtaxpodConnect with the Hosts on LinkedInRoger HarrisAnnie SchwabReviewLeave a review on Apple Podcasts or PodchaserSubscribeSubscribe to the Federal Tax Updates podcast in your favorite podcast app!This podcast is a production of Earmark MediaThe full transcript for this episode is available by clicking on the Transcript tab at the top of this pageAll content from this podcast by SmallBizPros, Inc. DBA PADGETT BUSINESS SERVICES is intended for informational purposes only.

This is a bonus episode from a recent webinar Annie and Roger did. Prepare for Tax Season 2026 and the changes brought by the One Big Beautiful Bill Act. Join Federal Tax Updates co-hosts Roger Harris and Annie Schwab for a focused look at the most impactful provisions and what they mean for your clients. They break down the latest IRS updates, highlight the questions firms are already hearing, and share practical advice to help your firm prepare for the year ahead.Roger Harris, EA - https://www.linkedin.com/in/rogerharrispbs/Annie Schwab, CPA - https://www.linkedin.com/in/annie-schwab-852418261/Learn more about Padgett: https://www.padgettadvisors.com/🔔 NASBA-approved CPE and IRS-approved CE credits are offered via Earmark https://www.earmark.app/c/3168

Andres Costa and Emily Goodman have acquired four accounting practices since 2021, expanding from a single location to five offices with a team of ten. They break down their acquisition strategy, from finding deals and structuring payment terms to handling employee transitions and raising client fees. Roger and Annie dig into the hard realities of practice valuations, including why a $350,000 firm might only be worth $200,000 and what sellers need to fix before they can command top dollarSponsorsPadgett - Contact Padgett or Email Jeff PhillipsGet NASBA Approved CPE or IRS Approved CELaunch the course on EarmarkCPE to get free CPE/CE for listening to this episode.Chapters(00:00) - Introduction and Greetings (00:52) - Meet the Special Guests: Andre and Emily (01:55) - The Importance of Acquiring Firms (02:46) - Starting the Acquisition Journey (07:11) - First Acquisition Experiences (13:16) - Evaluating Potential Firms (26:20) - Maintaining and Scaling Operations (33:22) - Structuring Acquisition Deals (33:59) - Client Retention Strategies (35:18) - Evaluating Firm Value (37:03) - Challenges with Small Firms (40:15) - Owner Financing Benefits (48:17) - Raising Client Fees (51:02) - Transitioning Clients and Employees (59:32) - Final Advice for Buyers and Sellers Follow the Federal Tax Updates Podcast on Social Mediatwitter.com/FedTaxPodfacebook.com/FedTaxPodlinkedin.com/showcase/fedtaxpodConnect with the Hosts on LinkedInRoger HarrisAnnie SchwabReviewLeave a review on Apple Podcasts or PodchaserSubscribeSubscribe to the Federal Tax Updates podcast in your favorite podcast app!This podcast is a production of Earmark MediaThe full transcript for this episode is available by clicking on the Transcript tab at the top of this pageAll content from this podcast by SmallBizPros, Inc. DBA PADGETT BUSINESS SERVICES is intended for informational purposes only.

Former IRS Commissioner Danny Werfel and longtime agency communications chief Terry Lemons join Roger and Annie for a candid Thanksgiving conversation about the mounting challenges facing the agency heading into the 2026 filing season. The discussion covers budget cuts, staffing reductions, the lingering ERC backlog, and why a hollowed-out compliance function puts both taxpayers and tax professionals at greater risk.SponsorsPadgett - Contact Padgett or Email Jeff PhillipsGet NASBA Approved CPE or IRS Approved CELaunch the course on EarmarkCPE to get free CPE/CE for listening to this episode.Chapters(00:00) - Welcome to Federal Tax Updates (01:22) - Introducing Special Guests: Terry Lemons and Danny Werfel (02:33) - Danny's Post-IRS Journey (08:03) - Terry Lemons' Post-IRS Activities (12:27) - Challenges Facing the IRS and Tax Professionals (19:52) - The Importance of IRS Compliance and Modernization (30:50) - Concerns About Workforce Sustainability (31:56) - Employee Retention Credit Issues (32:37) - Fraud and Government Response (35:30) - Impact of Government Shutdown on IRS Programs (36:53) - IRS Performance and Resource Allocation (40:52) - Challenges in Tax Compliance and Enforcement (46:17) - Preparing for the Upcoming Tax Season (51:19) - College Football Predictions (53:53) - Closing Remarks and Holiday Wishes Connect with Terry Lemonshttps://www.linkedin.com/in/terry-lemons-77b3641a9Connect with Danny Werfelhttps://www.linkedin.com/in/danny-werfel-89441594Follow the Federal Tax Updates Podcast on Social Mediatwitter.com/FedTaxPodfacebook.com/FedTaxPodlinkedin.com/showcase/fedtaxpodConnect with the Hosts on LinkedInRoger Harris - https://www.linkedin.com/in/rogerharrispbs/Annie Schwab - https://www.linkedin.com/in/annie-schwab-852418261/ReviewLeave a review on Apple Podcasts or PodchaserSubscribeSubscribe to the Federal Tax Updates podcast in your favorite podcast app!This podcast is a production of Earmark MediaThe full transcript for this episode is available by clicking on the Transcript tab at the top of this pageAll content from this podcast by SmallBizPros, Inc. DBA PADGETT BUSINESS SERVICES is intended for informational purposes only.

John Barucci joins the show to break down his real-life data breach. John thought he had all the right safeguards in place: cyber insurance, firewalls, security training, and a written information security plan. But a single click on what appeared to be a Social Security Administration email led to bad actors accessing nine client files, altering returns, and changing bank account information in just 38 minutes.SponsorsPadgett - Contact Padgett or Email Jeff PhillipsGet NASBA Approved CPE or IRS Approved CELaunch the course on EarmarkCPE to get free CPE/CE for listening to this episode.Chapters(00:00) - Introduction and Greetings (00:56) - Current Events and Government Shutdown (01:56) - PTIN Renewal and Security Measures (02:59) - Introducing John Bucci's Story (04:34) - John Bucci's Cybersecurity Breach Experience (06:18) - Detailed Chronology of the Breach (18:38) - Immediate Actions Taken Post-Breach (22:14) - IRS and Software Company Responses (27:02) - Client Communication and Further Steps (30:34) - The Weight of Responsibility in Tax Practice (31:22) - The Importance of Having a Plan (32:28) - Immediate Actions Post-Breach (32:53) - Involvement of Thomson Reuters and Stopping the Breach (34:21) - Forensic Investigation and Legal Steps (35:48) - Cyber Insurance and Its Benefits (37:50) - IRS Practitioner Relief Program (43:27) - Final Reflections and Lessons Learned (50:02) - Conclusion and Final Thoughts Follow the Federal Tax Updates Podcast on Social Mediatwitter.com/FedTaxPodfacebook.com/FedTaxPodlinkedin.com/showcase/fedtaxpodConnect with John: https://www.linkedin.com/in/johnbarucciConnect with the Hosts on LinkedInRoger HarrisAnnie SchwabReviewLeave a review on Apple Podcasts or PodchaserSubscribeSubscribe to the Federal Tax Updates podcast in your favorite podcast app!This podcast is a production of Earmark MediaThe full transcript for this episode is available by clicking on the Transcript tab at the top of this pageAll content from this podcast by SmallBizPros, Inc. DBA PADGETT BUSINESS SERVICES is intended for informational purposes only.

Roger and Annie welcome Alan Pinck, EA and moderator of Tax Talk Today, for a wide-ranging conversation about his transition from hospitality management to tax representation work. Alan shares war stories from the days of preparing returns by hand, explains why treating IRS auditors with respect yields better outcomes than adversarial tactics, and discusses the critical differences between examination and collections work. The conversation covers everything from ghost preparers and ERC problems to building a year-round practice, teaching strategies, and why the most important day of tax season is April 16th.SponsorsPadgett - Contact Padgett or Email Jeff PhillipsConnect with Alanhttps://www.linkedin.com/in/alan-pinck-ea-1b29b66https://apincktax.com/ Get NASBA Approved CPE or IRS Approved CELaunch the course on EarmarkCPE to get free CPE/CE for listening to this episode.Chapters(00:00) - Introduction and Welcome (01:05) - Special Guest Introduction: Alan Pink (02:13) - Alan's Journey into Tax Profession (04:57) - Challenges and Anecdotes in Tax Preparation (13:09) - Representation and Audits (22:28) - Collections vs. Examination (29:12) - Current Issues and Credits (30:06) - Taxpayer Liability and Rule Changes (31:11) - Understanding Captive Insurance (33:35) - Advice for New Tax Professionals (34:33) - NAEA and Educational Programs (38:21) - Becoming a Tax Talk Moderator (41:36) - Challenges and Rewards of Live Shows (51:12) - Upcoming Speaking Engagements (53:19) - Final Thoughts and Farewell Follow the Federal Tax Updates Podcast on Social Mediatwitter.com/FedTaxPodfacebook.com/FedTaxPodlinkedin.com/showcase/fedtaxpodConnect with the Hosts on LinkedInRoger HarrisAnnie SchwabReviewLeave a review on Apple Podcasts or PodchaserSubscribeSubscribe to the Federal Tax Updates podcast in your favorite podcast app!This podcast is a production of Earmark MediaThe full transcript for this episode is available by clicking on the Transcript tab at the top of this pageAll content from this podcast by SmallBizPros, Inc. DBA PADGETT BUSINESS SERVICES is intended for informational purposes only.