Do you remember playing a game called 20 Questions?  It’s a game for two or more players. One person thinks of something and the other players ask up to 20 questions trying to figure out what the first person was thinking. There is always something going on in the tax business, that sometimes I think we are all playing 20 questions with the IRS.  Maybe it is the IRS trying to figure the public out. One of the most recent topics in the tax news today affects all of us in my business, but only a few of my clients.  If this doesn’t affect you directly, you may know someone who is happy to hear this news.  The IRS must follow the Federal Tax Code, the tax laws. In doing so, they draft  rules and regulations, procedures and policies. Once in a while a taxpayer or group of taxpayers will take an issue to court and changes are made. This is about one of the most recent changes. Keep in mind that while most states follow the federal law, each state can decide for their own state if they will follow the federal law to the letter or if their state will make exceptions to any law.  On their website, the Internal Revenue Service has published 19 questions and answers based on new Revenue Ruling 2013-17.  Here are just a few of the questions taken directly from that announcement. In the upcoming weeks I’ll include the answers to some of them.

“1. When are individuals of the same sex lawfully married for federal tax purposes?

“2. Can same-sex spouses file federal tax returns using a married filing jointly or married filing separately status?

“3. Can a taxpayer and his or her same-sex spouse file a joint return if they were married in a state that recognizes same-sex marriages but they live in a state that does not recognize their marriage?

“4. Can a taxpayer’s same-sex spouse be a dependent of the taxpayer?

“5. Can a same-sex spouse file using head of household filing status?

“6. If same-sex spouses (who file using the married filing separately status) have a child, which parent may claim the child as a dependent?

“7. Can a same-sex spouse itemize deductions if his or her spouse claims a standard deduction?

“8. If a taxpayer adopts the child of his or her same-sex spouse as a second parent or co-parent, may the taxpayer (“adopting parent”) claim the adoption credit for the qualifying adoption expenses he or she pays or incurs to adopt the child?

“9. If a sole proprietor employs his or her same-sex spouse in his or her business, can the sole proprietor get a refund of Social Security, Medicare and FUTA taxes on the wages that the sole proprietor paid to the same-sex spouse as an employee in the business?

“10. Will the IRS issue further guidance on how qualified retirement plans and other tax-favored retirement arrangements must comply with Windsor and Rev. Rul. 2013-17?”