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Additional Federal Tax Law Changes Not Included in the PATH Act

May 19, 2016

Congress passed additional tax legislation in two bills last summer. Here is what was passed in addition to what was in the Protecting Americans from Tax Hikes (PATH) Act:

Trade Preferences Extension Act of 2015 (HR 1295)
The following areas of the tax code were changed in this trade bill which became law on June 29, 2015:

  • Education Credits and Tuition and Fees Deduction
    A taxpayer must have received a Form 1098-T in order to claim an education credit (American Opportunity or Lifetime Learning) or the Tuition and Fees Deduction beginning with Tax Year 2016.
  • Child Tax Credit
    Taxpayers will no longer be able to claim the refundable portion of the Child Tax Credit if they elect to exclude foreign earned income or foreign housing costs from their gross income.
  • Penalty on late filing of information returns
    If the failure to file an information return is corrected within 30 days of the due date the penalty is $50 (was $30).The maximum penalty is increased to $250 (was $100).

The Surface Transportation and Veterans Health Care Choice Improvements Act of 2015 (HR 3236)
This bill (which became law on July 31, 2015) changed the due dates for the following federal form types beginning in 2017 (Tax Year 2016):

  • Form 1120 (C Corporations)
    • Calendar year: Due date changed to April 15; Extension date will remain September 15 until the end of 2025
    • Fiscal year: Changed to 15th day of the fourth month after year end; Extension date remains 6 months
    • June 30 year end: Due date remains September 15 until the end of 2025
  • Form 1065 (Partnership)
    • Calendar year: Due date changed to March 15
    • Fiscal year: Changed to 15th day of the third month after year end
  • Foreign Bank and Financial Accounts Report (FBAR): The filing due date will now be April 15 (was June 15)
  • Form 990 (Exempt Organizations): Extension will now be for an automatic 6-month extension

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Kiddie Tax Change and Form 8615
February 12, 2020

IRS Expands Their Identity Protection PIN (IP PIN) Program
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2019 Federal Return and the Affordable Care Act
January 3, 2020

Extender and Disaster Tax Relief Provisions Included in the 2020 Consolidated Appropriations Legislation
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Reminder of 2019 Federal Tax Changes
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Virtual Currency and Form 1040, Schedule 1
November 11, 2019

Additional Updates
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