IRS Defers Credit Card Card Reporting on Business Tax Returns
The IRS has added a new line on business tax returns to report gross receipts received via merchant card (credit and debit cards) and third party network payments. However, for 2011, the IRS has deferred the requirements to report these amounts. Therefore, enter zero on line 1a and report all gross receipts on line 1b, including any income reported to you on Form 1099-K.
New Goodwill Standards Available for 2011
Entities with goodwill on their financial statements may elect to use a new standard when assessing for impairment. ASU 2011-08 allows an entity the option to first assess qualitative factors to determine whether the existence of events or circumstances leads to a determination that it is more likely than not that the fair value of a reporting unit is less than its carrying amount.