Daily Tax Update - April 10, 2015: IRS Provides Penalty Relief for Health Insurance Coverage

IRS Provides Penalty Relief for Health Insurance Coverage:  Today, the IRS issued Notice 2015-30, which provides relief from certain penalties for taxpayers who received a Form 1095-A, Health Insurance Marketplace Statement, that was delayed or that the taxpayer believes to be incorrect.  To be eligible for relief, a taxpayer must either (1) file a return by April 15 or (2) request an extension by April 15 and file a return by October 15.

JCT Report Examines Choice of Business Entity:  Today, the staff of the Joint Committee on Taxation (JCT) issued a report titled “Choice of Business Entity: Present Law and Data Relating to C Corporations, Partnerships, and S Corporations.”  The report provides background information on the choice of business entity and data concerning the distribution of business entities by number, size, industry, and net income.  According to the report, the number of pass-through entities has tripled since 1987.  In 2012, approximately 46% of total business income was reported on individual income tax returns, while 54% was reported on corporate income tax returns.