Government taxation and revenue

The nation's millionaires and billionaires are evading more than $150 billion a year in taxes, adding to growing government deficits and creating a "lack of fairness" in the tax system, according to the head of the Internal Revenue Service.The IRS, with billion of dollars in new funding from Congress, has launched a sweeping crackdown on wealthy taxpayers, partnerships and large companies. In an exclusive interview with CNBC, IRS Commissioner Danny Werfel said the agency has launched several programs targeting taxpayers…

Jeff Bezos and Lauren Sanchez walk in the Paddock prior to final practice ahead of the F1 Grand Prix of Miami at Miami International Autodrome on May 06, 2023 in Miami, Florida. Clive Mason | Formula 1 | Getty ImagesJeff Bezos' $2 billion stock sale last week came with an added perk: no state taxes.Last year, Bezos announced on Instagram that he was leaving Seattle after nearly 30 years to move to Miami. He said the move was to be closer to his parents and his rocket launches at Blue Origin. The timing also suggested…

Halfpoint Images | Moment | Getty ImagesConsumers no longer have to wait to file their annual tax returns to get a tax break for the purchase of a new electric vehicle.At the start of 2024, the federal "new clean vehicle" tax credit became available as a point-of-sale discount — worth up to $7,500 — at car dealerships.That means participating dealers can give eligible consumers an immediate break on an EV's purchase price, perhaps via a partial payment or down payment on the vehicle or a cash payment to buyers.Buyers of…

Praetorianphoto | E+ | Getty ImagesThe $7,500 tax credit for new electric vehicles will be easier for many consumers to claim in 2024, but it may be more difficult for others. These opposing dynamics are due to federal policies taking effect at the same time.One policy kicking in Jan. 1 will allow car dealers to give buyers their EV tax break at the point of sale — as cash, a price discount or down payment. Currently, consumers must wait until they file an annual tax return during tax season to receive a financial…

In recent months, the world's new billionaires made more of their fortunes from inheritance than from entrepreneurship, according to the UBS Billionaire Ambitions Report.It marked the first time in the nine-year history of the report that newly minted billionaires accumulated more wealth from inheritance than starting a business.Fifty-three heirs inherited a total of $150.8 billion in the 12 months ending in April, exceeding the total of $140.7 billion accumulated by 84 new self-made billionaires, according to the Swiss…

One of Las Vegas's more famous residents is aiming to work closer to home.Actor Mark Wahlberg lobbied Nevada state lawmakers Wednesday to pass a bill that would coax more film production to Las Vegas."I would love to see us building studios, creating jobs and just diversifying the economy," Wahlberg told CNBC in an interview outside the Nevada Legislature. "I've moved my last film here. I'm shooting another film here coming up in the summertime."Nevada state lawmakers are set to vote on a bill that would increase tax…

The owner of this over-the-top, seven-bedroom and 11-bath mansion in Los Angeles is prepared to accept $6 million less than what he paid for it less than two years ago — all to beat a ticking clock.The home features a Kobe Bryant-themed basketball court, car showroom and a 70-foot infinity pool that appears to float some 45 feet above the mountainside, and it's on sale for a reduced price of $38 million.If it doesn't sell by April 1, the property would be subject to a looming new, local mansion tax, which goes into effect…

Despite the cooling market, many homeowners made money selling their property in 2022 — and part of that windfall may be taxable.Home sellers made a $112,000 profit on the typical sale in 2022, a 21% increase from 2021, and a 78% jump from two years ago, according to ATTOM, a nationwide property database. While most sellers fall under the thresholds for capital gains taxes, high-dollar home sales or long-term ownership can trigger an unexpected bill, experts say.More from Smart Tax Planning:Here's a look at more…

Senate Finance Committee Chairman Ron Wyden, D-Ore., questions IRS Commissioner Charles Rettig at a Senate Finance Committee hearing.Tom Williams | Pool | ReutersPresident Joe Biden's nominee to lead the IRS answered questions during a Senate Finance Committee hearing this week, highlighting key issues from lawmakers on both sides of the aisle.Daniel Werfel, a former budget official and private sector leader, fielded questions Wednesday about the agency's funding, enforcement, transparency and other priorities.  "I think…

vitapix | E+ | Getty ImagesPlanning to sell some investments this year? It's less likely to affect your 2023 tax bill, experts say.Here's why: The IRS made dozens of inflation adjustments for 2023, including the long-term capital gains brackets, applying to investments held for more than one year.This means you can have more taxable income before reaching the 15% or 20% brackets for investment earnings.More from Smart Tax Planning:Here's a look at more tax-planning news."It's going to be pretty significant," said Tommy…