Tax

Hawaii Tax Review Commission Fifth Meeting Notice, April 20, 2026

The Hawaii Tax Review Commission has scheduled its fifth meeting for April 20, 2026 from 2:30-4:30 PM, to be held remotely via Zoom with a courtesy physical terminal in Honolulu. The agenda includes discussion of consultant hiring for the first competitiveness project, a presentation on tourism and transient accommodations tax topics and housing affordability, and continued discussion of additional commission priorities.

Proposed Excise Tax Regulations Under IRC Section 4475 for Remittance Transfers

The IRS proposes regulations under Internal Revenue Code section 4475 to implement a 1 percent excise tax on certain remittance transfers occurring after December 31, 2025. The proposed rules would revise 26 CFR part 40 (Excise Tax Procedural Regulations) and add provisions to 26 CFR part 49 (Facilities and Services Excise Tax Regulations), providing definitions, collection procedures, and rules for determining qualifying payment instruments.

IRS Proposed Rule on Excise Tax Remittance Transfers - Comment Deadline June 12

The IRS has published a proposed rule on excise tax remittance transfers for public comment. The comment deadline is June 12. Taxpayers affected by excise tax remittance requirements should review the proposal and submit comments by the deadline.

Definition of Qualified Tips for Income Tax Deduction Under Section 224

The IRS has issued final regulations implementing Section 224 of the Internal Revenue Code (added by the One, Big, Beautiful Bill Act of July 4, 2025) to define "qualified tips" for an income tax deduction. The rule identifies occupations that customarily and regularly received tips on or before December 31, 2024, and establishes requirements for the deduction. These regulations affect individuals who receive tips as part of their occupation and are effective June 12, 2026.

American Compass Tariff Claims Break Down Under Scrutiny

Tax Foundation published a critical analysis of American Compass's 'Tariff Tally' report assessing the one-year impact of Trump's Liberation Day tariffs. The analysis argues that American Compass's theoretical framework for how tariffs boost manufacturing is fundamentally flawed at each stage, from price effects through investment and job creation. Tax Foundation contends the analysis relies on selective data presentation, misapplies price concepts, and fails to engage with evidence that tariffs raised both import prices and consumer prices by approximately 0.76 percentage points.

Foreign Insurance Companies Asset Percentages and Investment Yields for 2026

Rev. Proc. 2026-19 sets the 2025 domestic asset/liability percentages and investment yields for foreign insurance companies to compute minimum effectively connected net investment income under IRC § 842(b) for taxable years beginning after December 31, 2024. Foreign life insurance companies must use a 128.2% domestic asset/liability percentage and 2.1% investment yield; foreign property and liability insurance companies must use 202.4% and 2.2%, respectively. The percentages and yields are based on 2023 tax return data and apply to estimated tax installment payments due after publication.

April 2026 Weighted Average Interest Rates, Yield Curves, and Segment Rates

IRS Notice 2026-26 publishes the April 2026 weighted average interest rates, yield curves, and segment rates for corporate bonds used in pension plan funding calculations under sections 430 and 431 of the Internal Revenue Code. The spot segment rates for March 2026 are 4.24% (first), 5.35% (second), and 6.25% (third), with 24-month average segment rates of 4.46%, 5.27%, and 5.84% respectively. Plan sponsors and actuaries must use these rates in computing minimum funding contributions for defined benefit plans and in calculating the full-funding limitation for multiemployer plans.

Submit Evidence for Child Benefit via Online Form

HMRC has published guidance for Child Benefit applicants on how to submit supporting evidence when requested to do so by the agency. Applicants must submit required evidence within 14 days of receiving the request letter; failure to do so will result in HMRC making a decision based on information already on file. HMRC will issue a determination letter within 15 working days of receiving the evidence, and may request original documents at that stage.

Countries Improve Tax Systems Through National Reforms: Key Findings from 2025 Index

The Tax Foundation's analysis of the 2025 International Tax Competitiveness Index finds that the largest overall improvers from 2016 to 2025 were Greece (+12 places, 35th to 23rd), the United States (+10), and Hungary, Canada, and Mexico (+5 each), driven by nationally determined tax reforms including lower penalties on new investment, simpler rate structures, broader consumption taxes, and cleaner cross-border rules. The report notes that multilateral efforts — including the OECD's BEPS project and its Two-Pillar Solution — produced mixed results, with the second pillar establishing a 15 percent global minimum corporate tax partly succeeding but with significant compliance costs.

Final Regulations List 70+ Occupations for Tip Deduction Under No Tax on Tips Provision

The Department of the Treasury and the IRS issued final regulations implementing the No Tax on Tips deduction under the One, Big, Beautiful Bill, listing more than 70 occupations across eight categories—from beverage and food service to transportation and delivery—where workers customarily receive tips. The regulations expand the prior proposed list by adding visual artists, floral designers, and gas pump attendants, while clarifying that qualified tips must be paid in cash or electronic equivalents, received voluntarily from customers, and reported on Form W-2, Form 1099-NEC, Form 1099-MISC, Form 1099-K, or Form 4137. The rule defines qualified tips to exclude mandatory service charges where customers have no option to modify or disregard the amount.

Treasury/IRS Proposed Regulations on 1% Remittance Transfer Tax

The Department of the Treasury and the IRS issued proposed regulations on April 10, 2026 implementing the new 1% remittance transfer tax enacted under the One, Big, Beautiful Bill, effective January 1, 2026. Remittance transfer providers must collect the tax from senders who provide cash, money orders, cashier's checks, or similar physical instruments, make semimonthly deposits, and file quarterly returns on Form 720. The first semimonthly deposits are due January 29, 2026, and public comments on the proposed regulations are due by June 12, 2026.

Set Up a Limited Company Step by Step Guide

HMRC and the UK Government have published a nine-step guide for individuals seeking to form a limited company in the United Kingdom. The guidance covers choosing between companies limited by shares and companies limited by guarantee, appointing directors and shareholders or guarantors, identifying People with Significant Control (PSC), preparing incorporation documents, selecting a company name, registering with Companies House, and completing post-registration tax obligations including Corporation Tax. The guide references Companies House as the registrar for company incorporation and provides links to additional statutory requirements.

Cancel Economic Crime Levy Registration After Insolvency

HMRC has published guidance for insolvency practitioners on cancelling Economic Crime Levy registration when an entity becomes insolvent. The online form can be used by trustees in bankruptcy or sequestration, liquidators, and administrators to submit final returns and deregister entities. HMRC states it will process forms within 28 working days and contact applicants if further information is required.

Economic Crime Levy Insolvency Process for Insolvency Practitioners

HM Revenue & Customs published Insolvency Practitioner Bulletin 1 (2026) on 10 April 2026, introducing the new digital process for submitting Economic Crime Levy returns and deregistering entities when a business becomes insolvent. The bulletin applies to all insolvency practitioners who must use this process when dealing with the Economic Crime Levy during insolvency proceedings. This guidance supersedes any previous informal processes and establishes the official procedure for digital submission and deregistration.

Economic Crime Levy Insolvency Guidance for Practitioners

HMRC published guidance for insolvency practitioners on procedures when an entity liable for the Economic Crime Levy becomes insolvent. The guidance directs practitioners to follow specific reporting procedures to HMRC and provides a link to detailed instructions on GOV.UK. This affects insolvency practitioners handling cases involving entities registered for the Economic Crime Levy.

Ready, Steady, File! HMRC Newsletter Edition 4

HMRC published the fourth and final edition of its 'Ready, Steady, File!' newsletter for participants of the 2025 Making Tax Digital for Income Tax beta testing programme on 9 April 2026. The newsletter summarises the latest news, resources, and milestones in the MTD for Income Tax testing journey. As the programme concludes, this edition serves as a closing communication rather than an announcement of new obligations.

Michigan 24% Wholesale Marijuana Tax Effective January 2026

Michigan's new 24% wholesale marijuana tax takes effect January 1, 2026, applying to all taxable sales and transfers of recreational or adult-use marijuana at the wholesale level. Treasury has published finalized formal guidance (Revenue Administrative Bulletin 2026-3, dated March 17, 2026) to help cannabis businesses understand compliance obligations. Revenue from this tax is deposited into the neighborhood road fund for infrastructure improvements.

Recreational Marijuana Taxes Across US States, 2026

The Tax Foundation published 2026 recreational marijuana excise tax data across US states that have legalized recreational cannabis. Approximately 20 states are included, with tax structures varying by state: some tax wholesale value, others tax retail sales, and several employ THC-content-based formulas. Notable 2025 legislative changes captured include Maine's tax rebalancing (reduced wholesale rates, raised retail percentage from 10% to 14%), Maryland's rate increase from 9% to 12%, Michigan's new 24% wholesale tax, Minnesota's increase from 10% to 15%, and New Mexico's increase from 12% to 13% with scheduled annual increases through 2030.

Maine Millionaire Tax Would Harm Small Business Competitiveness

The Tax Foundation published analysis opposing Maine's proposed 2 percentage point surtax on high earners, which would increase the top marginal rate from 7.15% to 9.15% on income above $1 million, raising an estimated $74 million annually from approximately 2,631 filers. The analysis raises concerns about the proposal's impact on small businesses, noting that 70% of Maine filers with income exceeding $1 million have pass-through business income and 48% of all pass-through business income in the state was earned by filers with over $1 million in adjusted gross income. Small business owners and investors subject to the tax may face reduced profitability and increased competitive disadvantage relative to out-of-state rivals.

Revenue Ruling 2026-8: SIFL Aircraft Valuation Formula and APMA Program Report

The IRS published Revenue Ruling 2026-8 updating the Standard Industry Fare Level (SIFL) cents-per-mile rates and terminal charge used to value non-commercial flights on employer-provided aircraft under 26 CFR 1.61-21(g) for flights taken January 1 through June 30, 2026. The terminal charge is set at $54.48, with tiered mileage rates of $0.2980 per mile (up to 500 miles), $0.2272 per mile (501–1,500 miles), and $0.2184 per mile (over 1,500 miles). The IRS also published Announcement 2026-8 as its twenty-seventh annual report on the Advance Pricing and Mutual Agreement Program covering calendar year 2025.

Form 8609 Instructions Updated for Tax-Exempt Bond Projects

The IRS has updated page 2 of the Form 8609 instructions for tax-exempt bond projects in response to changes made by the One Big Beautiful Bill Act, effective for projects financed with tax-exempt bonds after 2025. The updated instructions provide two pathways under which no housing credit allocation is required: the existing 50% or more aggregate basis threshold, or a new 25% or more aggregate basis threshold when tax-exempt bonds are issued after 2025, provide at least 5% of the aggregate basis, and the building is placed in service in tax years beginning after 2025. Line 1a instructions were also updated to clarify that filers should leave the line blank when the building is financed by tax-exempt bonds for which no allocation is required.

Occupations That Customarily and Regularly Received Tips; Definition of Qualified Tips (T.D. 10044)

The IRS published final regulations (T.D. 10044) under 26 CFR Part 1 defining "qualified tips" for purposes of the FICA tip tax. The regulations establish which occupations customarily and regularly receive tips and the requirements for tips to qualify under the Internal Revenue Code. These rules affect employers in tip-receiving industries who must withhold and pay FICA taxes on qualified tip income.

Excise Tax on Remittance Transfers

The IRS and Treasury Department have published a proposed rule (REG-114499-25) to implement an excise tax on remittance transfers under 26 CFR 40 and 26 CFR 49. The rule defines remittance transfers, establishes tax rates, and outlines reporting requirements for providers of remittance transfer services. Comments are being accepted through June 12, 2026.

Indiana Gas Use Tax Holiday: April 8 – May 8, 2026

Governor Mike Braun declared an energy emergency on April 8, 2026, suspending Indiana's Gas Use Tax collection for 30 days through May 8, 2026. The Indiana DOR issued guidance requiring gasoline distributors to stop collecting the tax at the distributor level and to report total exempt gallons on GT-103 filings for May and June. Retailers who were incorrectly charged Gas Use Tax during the suspension must work directly with their distributor for resolution, as DOR will not issue refunds through the standard Form GA-110L process.

Vermont Issues $100M Tax Refunds, $800 Average

The Vermont Department of Taxes has issued more than $100 million in tax refunds to date, with an average refund of $800 — up $36 from last year. More than 130,000 refunds have been issued, an increase of 17,300 over the same period last year. The department estimates approximately 40,000 Vermonters who do not file and have incomes below the federal filing requirement could be eligible for valuable refundable tax credits like the Vermont Earned Income Tax Credit or Vermont Child Tax Credit.

State Controller Cohen Available for Tax Day Media Interviews

State Controller and Franchise Tax Board Chair Malia M. Cohen will be available for live and taped interviews to share tax tips for last-minute filers on Wednesday, April 15, 2026, from 7 AM to 9 AM at FTB headquarters in Sacramento. Key topics include what to do if filers cannot file by Tax Day, how to claim the California Earned Income Tax Credit, tips to avoid tax scams, and where to find free e-file options. Media outlets are asked to RSVP in advance to FTB Public Affairs Staff.

HMRC February 2026 Performance Update

HMRC published its February 2026 performance update for fiscal year 2025-2026, reporting on performance against strategic objectives including tax collection, customer service delivery, and compliance outcomes. The report includes detailed performance data spreadsheets and metric definitions.

Carbon Border Adjustment Mechanism CBAM Communications Resources Pack

HMRC published communications resources for trade associations and industry bodies to cascade CBAM information to businesses importing goods from five specified sectors: aluminium, cement, fertiliser, hydrogen, and iron and steel. The materials include sample emails, social media messaging, and leaflets available in English and Welsh. CBAM comes into effect on 1 January 2027 and affects UK importers of covered goods from these sectors.

Draft CBAM Emissions and Verification Regulations

HMRC has published draft secondary legislation for the Carbon Border Adjustment Mechanism covering embodied emissions, monitoring, and verification requirements, alongside a force-of-law Notice and system boundaries document. The consultation closes at 11:59pm on 21 May 2026, with the full CBAM regime scheduled to take effect on 1 January 2027. Affected parties include UK importers of aluminium, cement, fertilisers, hydrogen, iron and steel goods, as well as overseas producers and accreditation bodies involved in emissions verification.

Governor Green Authorizes Tax Filing Deadline Extension to July 20 for Kona Low Victims

Governor Josh Green has authorized the Hawaii Department of Taxation to extend the state income tax filing and payment deadline from April 20, 2026, to July 20, 2026, for eligible taxpayers affected by the 2026 Kona Low storm events. Affected taxpayers may request a waiver of late file and late payment penalties and interest by filing Form L-115, Tax Relief Request for State Declared Disasters, electronically via Hawai'i Tax Online or by mail. The department will consider penalty waiver requests through July 20, 2026, and recommends filing Form L-115 as soon as possible.

Form 8886 Mailing Address Updated to Ogden UT

The IRS has updated the mailing address in the Instructions for Form 8886 (Reportable Transaction Disclosure Statement, Rev. October 2022). On page 3 under 'When and How To File', the address has been changed to Internal Revenue Service, 1973 Rulon White Blvd., OTSA Mail Stop 4915, Ogden, UT 84201. This change will be reflected in the next revision of the form instructions. The update is administrative and does not create any new compliance obligations.

How to Report Other Expenses on the Updated Form 8825

Form 8825 for tax year 2025 and later now requires partnerships and S corporations to report expenses not listed on lines 3 through 14 on line 17 (previously reported on line 15 in prior years). Entities not required to file Schedule M-3 simply use line 17 in place of the former line 15. Entities required to file Schedule M-3 must now attach Schedule A (Form 8825) and report the total on line 17, with any remaining expenses going on line 30 of Schedule A.

Smaller Corporate Tax Bills Reflect Proper Investment Treatment, Not New Loopholes

The Tax Foundation published an op-ed arguing that reduced corporate tax bills under the One Big Beautiful Bill Act (OBBBA) reflect proper investment treatment rather than new loopholes. The analysis notes OBBBA provided permanent 100 percent bonus depreciation for most investment and expensing for research and development. The piece frames these provisions as fixing a 'major flaw in the tax code' and contrasts this with the expected public perception during corporate earnings season that companies paying little to no federal income tax represents giveaways.

Gas Tax Holidays Are Counterproductive, Research Shows

The Tax Foundation published research arguing that gas tax holidays are counterproductive economic measures. Georgia Governor Brian Kemp (R) recently enacted a 60-day suspension of the state’s motor fuel tax as a response to high fuel prices. The organization contends such measures undermine road funding while failing to address the fundamental causes of elevated fuel costs.

Georgia March Net Tax Revenues $2.62B, Up 4.8%

Georgia's net tax collections for March 2026 totaled $2.62 billion, an increase of $120.4 million, or 4.8%, compared to March 2025. Individual Income Tax collections of slightly more than $1.13 billion grew by only $3.3 million (0.3%), while Sales and Use Tax net collections rose by $71.5 million (10.3%) and Corporate Income Tax collections increased by $44.9 million (13.7%). Year-to-date net tax revenue through three quarters totaled $24.5 billion, up 1.9% from the same period last year. This document is a monthly statistical release and creates no compliance obligations for taxpayers or businesses.

Completing CT600P Supplementary Page for Creative Industries Tax Reliefs

HMRC has published guidance on completing the CT600P supplementary page for companies claiming creative industries tax reliefs, effective 8 April 2026. The guidance covers ten relief types including Audio-Visual Expenditure Credit, Film Tax Relief, High-End Television Tax Relief, Animation Tax Relief, Video Games Expenditure Credit, Theatre Tax Relief, Orchestra Tax Relief, and Museums and Galleries Exhibition Tax Relief. Companies must report combined totals per production category in the specified boxes (P5, P10, P15, P20), including relevant global expenditure, UK expenditure, qualifying expenditure, and expenditure credits claimed.

Anti-avoidance Information Notices — CC/FS88

HMRC published factsheet CC/FS88 to explain the function and use of anti-avoidance information notices within the compliance checks framework. The document serves as HMRC's official position on when and how these notices are deployed against taxpayers suspected of tax-avoidance arrangements. Taxpayers subject to compliance checks involving anti-avoidance scrutiny should consult this factsheet to understand the information HMRC is entitled to request and their response obligations.

Claim Unused Allowance for Agricultural or Business Property Relief IHT437

HMRC published form IHT437 for claimants to transfer any unused 100% agricultural or business property relief allowance from a deceased spouse or civil partner to the deceased's estate. The form must be submitted alongside form IHT400 to the probate and inheritance tax postal address. This publication supersedes any prior version of the IHT437 form.

Chief of Staff Rianna Matthews-Brown Departing April 30

Comptroller Brooke E. Lierman announced that Chief of Staff Rianna Matthews-Brown will depart the Office of the Comptroller of Maryland on April 30, 2026, after more than three years serving as a senior leader in the agency. During her tenure, Matthews-Brown helped secure over $1.5 million in funding through legislation to support outreach on key tax credits, including the Earned Income Tax Credit, and led the launch of the agency's first-ever statewide EITC awareness campaign. She also advanced taxpayer protections by leading the legislative effort to establish the Office of the Taxpayer Advocate in 2025 and oversaw its implementation, including hiring the division's Director.

Kane County Motor Fuel Tax Rate Increases to 8 Cents on July 1, 2026

Kane County is increasing its County Motor Fuel Tax from 5 cents to 8 cents per gallon effective July 1, 2026, as authorized under the County Motor Fuel Tax Law (55 ILCS 5/5-1035.1). The tax applies to all retail sales of motor fuel made within Kane County. Fuel retailers and distributors should update point-of-sale systems and tax compliance procedures before the effective date.

Kane County Motor Fuel Tax Rate Increase Effective July 2026

Effective July 1, 2026, Kane County will increase its County Motor Fuel Tax rate from five cents (5¢) to eight cents (8¢) per gallon on retail sales of motor fuel, as authorized under the County Motor Fuel Tax Law (55 ILCS 5/5-1035.1). All registered retailers selling motor fuel in Kane County must begin collecting the new 8¢ per gallon rate on all retail sales made from July 1, 2026 forward. The Illinois Department of Revenue advises retailers to use the MyTax Tax Rate Finder on tax.illinois.gov to verify current rates and recommends that retailers electronically filing Form CMFT-1 through MyTax Illinois will have updated rates auto-populated based on their sales addresses.

Missouri Sales Tax Holiday April 19-25, Energy Star Appliances Exempt

Missouri's annual Show Me Green Sales Tax Holiday returns April 19 through April 25, 2026, waiving state sales tax on qualifying ENERGY STAR certified appliances. The exemption covers the first $1,500 of each appliance purchase, including clothes washers, dryers, dishwashers, air conditioners, and refrigerators. All Missouri cities, counties, and districts participate in this state-mandated holiday.

Simplified Municipal Telecommunications Tax Rate Changes Effective July 1, 2026

Starting July 1, 2026, select Illinois municipalities will impose a Simplified Municipal Telecommunications Tax. The combined rate consists of the State Telecommunications Excise Tax rate of 8.65 percent plus a local Simplified Municipal Telecommunications Tax rate of up to 6.00 percent outside Chicago. IDOR references Informational Bulletin FY 2026-19 for additional details on these rate changes.

IDOR Urges Taxpayers to File Early Ahead of April 15 Deadline

The Illinois Department of Revenue (IDOR) issued a news release on April 7, 2026, reminding taxpayers to file their 2025 state individual income tax returns before the April 15 deadline. IDOR encourages early filing, particularly for those filing by mail, to avoid last-minute delays. The release also includes a scam alert warning against fraudulent texts and websites impersonating IDOR, noting the agency will never request personal or financial information via text message.

Long-Term Care Premiums Paid Statement - Information Collection Comment Request

The IRS published a notice seeking public comments on a new information collection request for Form 1099-LPS (Long-Term Care Premiums Paid Statement). The form will be used by issuers of certified long-term care insurance policies to report contract information under IRC sections 401(a)(39)(E) and 6050Z. The notice requests comments on burden estimates, utility, and ways to minimize paperwork burden. Comments are due by June 8, 2026.

OBBBA Makes Investment Expensing Permanent, Boosting Economic Growth

The One Big Beautiful Bill Act permanently extended 100 percent bonus depreciation for property placed in service after January 19, 2025, reversed the TCJA's requirement to amortize domestic R&D expenditures, increased the Section 179 deduction allowance from $1 million to $2.5 million with a $4 million phaseout threshold, and created a temporary manufacturing-structure expensing provision (Section 168(n)) for new construction beginning before 2029 and placed in service before 2031. According to the Tax Foundation General Equilibrium Model, the combined expensing changes add an estimated 0.7 percent to long-run GDP while reducing conventional ten-year federal revenue by approximately $703 billion.

EU VAT Actionable Policy Gap €773.5B in 2024

The Tax Foundation's analysis finds the EU VAT actionable policy gap—the additional VAT revenue that could realistically be collected by eliminating reduced rates and certain exemptions—amounted to €773.5 billion in 2024, six times the compliance gap. The average EU actionable policy gap was 27.1 percent of potential revenue, with Spain (37.6%), Greece (36.3%), and Ireland (34.7%) recording the highest gaps. Closing this gap would increase EU countries' VAT revenues by 37 percent on average, with the largest gains in Spain (60%), Greece (57%), and Ireland (53%).

NCDOR Reminds Taxpayers of April 15 State Income Tax Filing Deadline

The North Carolina Department of Revenue issued a press release on April 7, 2026, reminding individual income taxpayers to file their state tax returns by April 15, 2026, to avoid interest and penalties. Taxpayers who owe taxes must pay in full by the deadline, while those who cannot file may request an automatic extension of time to file, though the extension does not extend the payment deadline. Electronic filing options are available through approved software products, and direct deposit is available for refunds.

Tax Commissioner Reminds Taxpayers to File Ahead of April 15 Deadline

The North Dakota Tax Commissioner is reminding individual income taxpayers to file their returns by the April 15 deadline or apply for an extension. As of April 6, the office has processed over 282,000 of the 480,000 expected returns this year, with more than 97 percent filed electronically. The notice also advises that recent changes to USPS postmark processes may cause delays for paper returns and encourages e-filing to ensure timely processing.

Housing Cost Amount Limitations for Foreign Earned Income Exclusion 2026

The IRS has published Notice 2026-25 providing adjusted limitations on housing expenses for purposes of the foreign earned income exclusion under Internal Revenue Code Section 911 for the 2026 tax year. The base housing amount is $21,264 ($132,900 × 0.16), and the generally applicable limitation on housing expenses is $39,870 ($132,900 × 0.30). The notice includes a table of adjusted limitations for over 100 specific international locations, ranging from $40,000 (Saint Petersburg, Russia; Warsaw, Poland) to $116,900 (Buenos Aires, Argentina) on a full-year basis. Section 4 permits qualified individuals incurring housing expenses in locations where the 2026 limitation exceeds the 2025 limitation to apply the 2026 amounts to their 2025 tax year.