Check out our summary of significant Internal Revenue Service (IRS) guidance and relevant tax matters for the week of April 15, 2024 – April 19, 2024.
April 15, 2024: The IRS released Internal Revenue Bulletin 2024-16, which includes the following:
- Announcement 2024-16, which describes the experience, structure and activities of the Advance Pricing and Mutual Agreement Program during calendar year 2023.
- Proposed regulations, which would revise regulations pertaining to the advance notice provided to taxpayers before the IRS contacts third parties. These proposed regulations are intended to conform to the new statutory language of Section 7602(c) of the Internal Revenue Code (Code), enacted as part of the Taxpayer First Act of 2019, and provide exceptions to the 45-day advance notice requirement where delaying contact with third parties for 45 days after providing notice to the taxpayer would impair tax administration.
- Announcement 2024-17, which contains corrections to proposed regulations under Code Sections 761 and 6417 that address certain electricity production credits.
- Notice 2024-30, which expands the Nameplate Capacity Attribution Rule under Section 4.02(1)(b) of Notice 2023-29 to include additional attribution property. The notice also adds two 2017 North American Industry Classification System industry codes to the table in Section 3.03(2) of Notice 2023-29, which are relevant for purposes of determining the Fossil Fuel Employment rate (as defined in Section 3.03(2) of Notice 2023-29).
- Notice 2024-32, which addresses the eligibility of loan borrowers through State Supplemental Loan programs and the loan size limitation for State Supplemental Loans. The notice also provides guidance on whether an issue of state or local bonds, the proceeds of which are used to finance or refinance qualified student loans or to finance qualified mortgage loans, is a refunding issue.
- Proposed regulations, which would identify certain charitable remainder annuity trust transactions and substantially similar transactions as listed transactions. Material advisors and certain participants in these listed transactions would be required to file disclosures with the IRS and would be subject to penalties for failure to disclose.
- Revenue Procedure 2024-19, which provides the process under Code Section 48(e) to apply for an allocation of environmental justice solar and wind capacity limitation as part of the low-income communities bonus credit program for 2024. The revenue procedure also describes how the capacity limitation for the 2024 program year will be divided across the facility categories described in Sections 48(e)(2)(A)(iii) and 1.48(e)-1(b)(2), the Category 1 sub-reservation described in Section 1.48(e)-1(i)(1) and the additional selection criteria application options described in Section 1.48(e)-1(h).
- Revenue Ruling 2024-8, which provides the terminal charge and Standard Industry Faire Level mileage rates used for valuing noncommercial flights on employer-provided aircraft.
April 15, 2024: The IRS announced it has answered over one million more taxpayer phone calls this tax season, helped over 170,000 more people in person and saw 75 million more IRS.gov visits fueled by a new and expanded Where’s My Refund? tool.
April 15, 2024: The IRS issued Notice 2024-33, which provides a limited waiver of the addition to tax under Code Section 6655 for underpayment of estimated income tax by a corporation to the extent the amount of any underpayment is attributable to a portion of a corporation’s corporate alternative minimum tax liability under Section 55, as amended by the Inflation Reduction Act of 2022.
April 15, 2024: The IRS reminded taxpayers that they have the right to pay only the amount of tax legally due, including interest and penalties, and to have the IRS apply all tax payments properly.
April 16, 2024: The IRS issued frequently asked questions (FAQs) in Fact Sheet 2024-13 related to the tax treatment of work-life referral services provided to employees under an employer’s work-life referral program.
April 16, 2024: The IRS issued Notice 2024-35, which provides guidance related to certain specified required minimum distributions (RMDs) for 2024 and announces that the final regulations that the US Department of the Treasury and the IRS intend to issue will apply for purposes of determining RMDs for calendar years beginning on or after January 1, 2025.
April 16, 2024: The IRS updated FAQs in Fact Sheet 2024-14 to provide guidance related to the New, Previously Owned and Qualified Commercial Clean Vehicle Credits.
April 16, 2024: The IRS reminded taxpayers that those who choose to not file a tax return could be missing out on refundable tax credits or an income tax refund.
April 16, 2024: The IRS issued Revenue Ruling 2024-09, which provides the May 2024 applicable federal rates.
April 16, 2024: The IRS issued Revenue Procedure 2024-21, which provides issuers of qualified mortgage bonds (as defined in Code Section 143(a)) and issuers of mortgage credit certificates (as defined in Section 25(c)) with the nationwide average purchase price for residences located in the United States and the average area purchase price safe harbors for residences located in statistical areas in each state, the District of Columbia, Puerto Rico, the Northern Mariana Islands, American Samoa, the Virgin Islands and Guam.
April 17, 2024: The IRS reminded taxpayers to use the IRS Tax Withholding Estimator to ensure they are withholding the correct amount of tax from their pay in 2024.
April 17, 2024: The IRS reminded taxpayers that the Where’s My Refund? tool has the most current information about refund status, but they can also call the automated refund hotline at (800)829-1954 to get their refund status.
April 17, 2024: The IRS updated FAQs in Fact Sheet 2024-15 to address the federal income tax treatment of amounts paid for the purchase of energy efficient property and improvements.
April 18, 2024: The IRS announced it is accepting applications for the 2025 Internal Revenue Service Advisory Council through May 31, 2024, including nominees for a new subcommittee focused on fairness issues.
April 18, 2024: The IRS issued its annual Data Book detailing its activities during fiscal year 2023 (October 1, 2022 to September 30, 2023), including revenue collected and tax returns processed.
April 18, 2024: The IRS issued Revenue Procedure 2024-20, which provides domestic asset/liability percentages and domestic investment yields needed by foreign life insurance companies and foreign property and liability insurance companies to compute their minimum effectively connected net investment income under Code Section 842(b) for taxable years beginning after December 31, 2022.
April 19, 2024: The IRS encouraged taxpayers who missed the April tax filing deadline to file a tax return as soon as they can because the IRS offers different resources to help those who are unable to pay their tax bill in total.
April 19, 2024: The IRS released its weekly list of written determinations (e.g., Private Letter Rulings, Technical Advice Memorandums and Chief Counsel Advice).
