Monthly News: December 2018

Data mining software is being used to help the IRS find people who are cheating on their tax returns.
The technology examines taxpayer information and looks for suspicious activity, which can lead to
audits.

The IRS is having problems with its video conferencing program. Taxpayers can go to some IRS offices
and talk to an IRS employee remotely using a computer. The program has not been successful due to the
fact that it requires an appointment, and many people don’t know about the program. The program is
only offered at a limited number of IRS offices. The IRS is planning on a home-based video conference
soon.

The 2018 tax laws allow more businesses to use the cash method of accounting. Previously C
corporations with average gross receipts of $5 million or more over 3 years qualified to use the cash
method. The tax law changed the threshold to $25 million.