Roger and Annie take a midyear look at how the IRS is holding up: call center struggles, a wave of CP2000, CP05, and CP14 notices, and the sudden departure of top Treasury tax official Ken Kies. They break down the new automatic penalty abatement replacing the old first-time abatement process, updates to Trump accounts, and a long list of OBBBA provisions kicking in for 2026, from the educator expense deduction to a higher 1099-K threshold. They close with practical tips for managing the fall extension crunch and a prediction on whether the TAS Act clears its Senate Finance Committee markup.

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Padgett - Contact Padgett or Email Jeff Phillips

Links mentioned in this episode

Chapters

• (00:00) - Welcome and Catch Up
• (00:31) - Summer Tax Conference Circuit
• (04:06) - Why IRS Phones Struggle
• (06:22) - Digital Self Service Push
• (08:44) - Staffing Tech and Leadership Shift
• (12:34) - Tips and Overtime Reporting 2026
• (14:39) - Refund Notices and Paper Checks
• (16:53) - Most Common IRS Notices
• (21:05) - Trump Accounts Guidance Update
• (24:03) - Kwong Case Status and Deadlines
• (27:00) - Fall Extension Survival
• (28:43) - Client Info Deadlines
• (31:13) - Systems and Automation
• (33:07) - Midyear Client Touchpoints
• (34:00) - Advisory in AI Era
• (35:21) - Automatic Penalty Relief
• (38:00) - AEP Tradeoffs Explained
• (42:36) - Key Changes for 2026
• (45:59) - Business and Reporting Updates
• (48:50) - TAS Act Outlook
• (53:43) - Conference Plans and Farewell

This podcast is a production of Earmark Media

The full transcript for this episode is available by clicking on the Transcript tab at the top of this page

All content from this podcast by SmallBizPros, Inc. DBA PADGETT BUSINESS SERVICES is intended for informational purposes only.

Roger and Annie cover a mid-year batch of tax updates: new Trump account reporting rules and gift tax relief, the tangled world of NIL taxation (including a court case over an influencer's courtside Lakers tickets and concert deductions), a new automatic penalty relief program, IRS online account updates, practitioner succession planning requirements, and fresh AI guidance for tax practice.

Sponsors
Padgett - Contact Padgett or Email Jeff Phillips

Links mentioned in this episode

Chapters

• (00:00) - Podcast kickoff and travel
• (01:49) - Midyear tax roundup agenda
• (02:37) - Trump accounts reporting changes
• (03:40) - Gift tax safe harbor update
• (07:29) - ERC claim extension option
• (09:43) - NIL taxes and missing guidance
• (14:39) - Influencer deductions court battle
• (23:13) - Sports tax talk and big events
• (24:40) - Automatic penalty relief program
• (28:22) - Automatic Penalty Relief Concerns
• (30:06) - Tax Pro Account Benefits
• (31:56) - Online Accounts Going Mainstream
• (33:50) - Helping Clients With IDme
• (34:50) - Paper Checks and Digital Push
• (38:13) - Succession Planning Best Practices
• (43:32) - AI Guidance Under Circular 230
• (48:12) - AI Fees and Due Diligence
• (50:12) - Minimum Standards for Preparers
• (51:22) - IRS Forums and Wrap Up

This podcast is a production of Earmark Media

The full transcript for this episode is available by clicking on the Transcript tab at the top of this page

All content from this podcast by SmallBizPros, Inc. DBA PADGETT BUSINESS SERVICES is intended for informational purposes only.

Roger and Annie preview Roger's upcoming NATP presentation, using ERC and the Kwong case as case studies for how firms can turn disruptive tax changes into revenue rather than just extra work. They walk through the mistakes made during ERC (delayed action, existing-clients-only focus, missed growth opportunity), the closing window on Kwong refund claims, and what firms need in place internally and externally to capitalize on the next unexpected change. The conversation closes with a candid take on AI's role in reshaping the profession, and why proactive communication, not tax return production, is where firms will keep their value.

Sponsors
Padgett - Contact Padgett or Email Jeff Phillips

Chapters

• (00:00) - Welcome Back Annie
• (00:50) - Previewing The Conference Talk
• (02:46) - Clients Want Advisory
• (08:09) - AI And The Future
• (10:03) - ERC Lessons Learned
• (15:16) - Tools For Fast Changes
• (17:29) - Marketing Beyond Clients
• (26:05) - OBBA And Data Mining
• (31:14) - Invest in Tech Stack
• (32:16) - OBB Client Communication
• (34:58) - Kwong Case Refund Window
• (39:29) - Data Mining and Online Accounts
• (41:45) - Communicate Even If Referring
• (46:18) - From Awareness to Action Plan
• (48:08) - AI as Drafting Assistant
• (49:39) - Future of Advisory Work
• (53:18) - AI Judgment and Pricing
• (58:08) - Wrap Up and Next Updates

This podcast is a production of Earmark Media

The full transcript for this episode is available by clicking on the Transcript tab at the top of this page

All content from this podcast by SmallBizPros, Inc. DBA PADGETT BUSINESS SERVICES is intended for informational purposes only.