09/21/2026
Developments from September 14–20, 2026
1. Drought-related tax relief for livestock producers
Status: Effective IRS guidance issued September 15—not a proposal.
IRS Notice 2026-54 extends the replacement period for qualifying livestock sold because of drought. The relief covers all Maryland counties and numerous Virginia jurisdictions, including Prince William, Fairfax, Loudoun, Arlington, Stafford, Roanoke, and surrounding areas.
Who is affected: Farmers and ranchers who sold more draft, dairy, or breeding livestock than usual because of drought. Poultry and animals held for slaughter or sporting purposes do not qualify.
Sources: IRS drought-relief announcement, Notice 2026-54 and qualifying jurisdictions.
2. IRS warns businesses about nonexistent “Tribal Tax Credits”
Status: Enforcement warning issued September 18—not a tax-law change.
The IRS warned that promoters are selling purported “Tribal,” “Native American,” or “Sovereign Tribal” tax credits. These federal credits do not exist. Returns claiming them may produce tax assessments, interest, civil penalties, and potential criminal exposure—even if the IRS initially accepted the return or issued a refund.
Who is affected: Businesses and individuals approached by promoters offering transferable credits at a discount or promising unusually large refunds.
Client-ready actions:
* Do not purchase, record, or claim a credit without identifying its specific Internal Revenue Code authority.
* Independently verify promoters, legal opinions, and supporting documents.
* Review previously filed returns if a client already claimed such a credit.
* Report suspected promoters using IRS Form 14242.
Source: IRS warning and reporting instructions.
* Federal payroll and general bookkeeping: No new broadly applicable requirement became effective.
* Virginia: No material Virginia Tax, VEC payroll-tax, or SCC business-formation change was identified.
* Maryland: No material Comptroller, payroll, or SDAT business-formation change was identified.
“Send Atlantic Business Services your missing bank statements, business expenses, and other tax documents now so we can complete your return before October 15.”
