Daily Tax Update - February 23, 2007

10 MILLION TAXPAYERS HAVE FAILED TO REQUEST TELEPHONE TAX REFUNDS: Today, the IRS urged taxpayers to check to see if they qualify for the telephone excise tax refund after more than 10 million early filers did not request the one-time refund. The IRS said that about 30 percent of all taxpayers so far have not requested the telephone tax refund.

  • To make the refund easier to figure, the IRS has established a standard refund amount, based on personal exemptions, ranging from $30 to $60. If taxpayers have phone bills and other records, they can request the actual amount of excise tax paid.
  • IRS Commissioner Mark Everson said, "Many taxpayers are overlooking this special refund and the chance to get a bigger refund. We encourage taxpayers to spend a few extra minutes reviewing their tax return to make sure they are making an accurate request. A little extra time can mean a bigger refund check." Everson added, "We are surprised how many tax preparers are overlooking the telephone tax refund. We want all taxpayers entitled to this refund to get it, whether they are using a tax preparer or doing the return themselves."
  • Additional information can be accessed via: http://www.irs.gov/newsroom/article/0,,id=164032,00.html

INTERNAL REVENUE SERVICE - CIRCULAR 230 DISCLOSURE:
As provided for in Treasury regulations, advice (if any) relating to federal taxes that is contained in this communication (including attachments) is not intended or written to be used, and cannot be used, for the purpose of (1) avoiding penalties under the Internal Revenue Code or (2) promoting, marketing or recommending to another party any plan or arrangement addressed herein.

STEPTOE & JOHNSON LLP - TAX PRACTICE
Steptoe & Johnson LLP has one of the largest and most diverse law firm tax practices in the country. The practice covers the entire spectrum of federal taxation, including representation of businesses before the Congress, Treasury and the national office of the IRS; transactional planning for domestic and multinational corporations; complex audit and controversy work for corporations and other business interests contesting IRS adjustments; litigation before the Tax Court, Court of Federal Claims, district courts, courts of appeals and the Supreme Court. The firm's tax practice also encompasses all aspects of employee benefits (ERISA), executive compensation, tax-exempt organizations and charitable giving. Steptoe has an extensive state and local tax practice, representing an array of business clients on complex sales and use tax, corporate income tax and property tax matters, both advising those clients and handling audits, administrative appeals, and litigation for them. Read more information on Steptoe's tax practice.