Alabama Archives - TAX CONTROVERSY 360

Weekly IRS Roundup September 30 – October 4, 2024

by Kevin Spencer, Evan Walters and Sama Kaseer | Oct 15, 2024 | IRS Guidance, Tax Reform, Tax Refunds

Check out our summary of significant Internal Revenue Service (IRS) guidance and relevant tax matters for the week of September 30, 2024 – October 4, 2024.

September 30, 2024: The IRS released Internal Revenue Bulletin 2024-40, which includes the following:

Revenue Ruling 2024-20, which provides the terminal charge and Standard Industry Fare Level mileage rates for valuing noncommercial flights on employer-provided aircraft for the second half of 2024.
Treasury Decision 9991, which contains final regulations that provide guidance on the consistent basis requirement under 1014(f) of the Internal Revenue Code (Code), applicable to recipients of certain property from a decedent, and the reporting requirements under Code § 6035, applicable to executors and other persons required to file an estate tax return. The final regulations adopt the 2016 proposed regulations (with some modifications) and are designed to ensure accurate reporting and compliance.
Proposed regulations, which amend the definition of “coverage month” to include any month where the premium paid, including advance payments, is sufficient to maintain an individual’s coverage from being terminated for that month when computing their premium tax credit (PTC). The proposed regulations also modify certain rules for calculating an individual taxpayer’s health insurance PTC and clarify eligibility criteria for state basic health programs.
Proposed regulations, which update the qualified domestic trust rules under Code 2056A by removing outdated references to align with current IRS procedures and revising filing requirements and addresses. The proposed regulations primarily affect estates passing property to noncitizen spouses.

September 30, 2024: The IRS released draft IRS Form 7217, Partner’s Report of Property Distributed by a Partnership, which requires partners to report property distributions from partnerships beginning in tax year 2024. Distributions consisting solely of money or marketable securities treated as money are excluded.

September 30, 2024: The IRS released Notice 2024-70, which extends the replacement period under Code § 1033(e) for livestock sold or exchanged because of drought conditions in specified counties across 41 US states, allowing more time for eligible farmers and ranchers to replace livestock.

October 1, 2024: The IRS extended the deadline to file federal individual and business tax returns and make tax payments for certain individuals and businesses in Illinois that were affected by severe weather that began on July 13, 2024. The new deadline is February 3, 2025. The extended deadline is available to taxpayers in any area designated by the Federal Emergency Management Agency (FEMA), including individuals and households that reside or have a business in the following counties: Cook, Fulton, Henry, St. Clair, Washington, Will, and Winnebago.

October 1, 2024: The IRS announced it is seeking volunteers for the Volunteer Income Tax Assistance and Tax Counseling for the Elderly programs to provide free tax services during the upcoming filing season. Interested individuals can sign up from October to January, with flexible hours and various roles [...]

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Weekly IRS Roundup September 18 – September 22, 2023

by Evan Walters | Sep 25, 2023 | IRS Guidance, Tax Reform, Tax Refunds

Check out our summary of significant Internal Revenue Service (IRS) guidance and relevant tax matters for the week of September 18, 2023 – September 22, 2023.

September 18, 2023: The IRS released Internal Revenue Bulletin 2023-38, which includes the following:

Notice 2023-56 describes rules that determine the federal income tax consequences of refunds for state or local taxes and certain other payments made by state or local governments to individuals (for additional information, see IRS Outlines Reporting Requirements for Cryptocurrency “Brokers”).
Proposed regulations addressing information reporting, determining amount realized and basis, and backup withholding for sales and exchanges of digital assets.

September 18, 2023: The IRS published Tax Tip 2023-111, describing different types of third-party representatives.

September 19, 2023: The IRS published Tax Tip 2023-112, describing how taxpayers can be certain they are communicating with the IRS as opposed to scammers purporting to represent the IRS.

September 19, 2023: The IRS reminded individuals and businesses in parts of Alabama, California and Georgia that their 2022 federal income tax returns and tax payments are due October 16, 2023. The original due date for these returns was postponed because of natural disasters.

September 19, 2023: The IRS has selected eight new members for the Electronic Tax Administration Advisory Committee (ETAAC), which is a public forum for the discussion of electronic tax administration issues. ETAAC members work closely with the Security Summit, a joint effort of the IRS, state tax administrators and the nation’s tax industry to fight identity theft and refund fraud.

September 20, 2023: The IRS published Tax Tip 2023-113, discussing the expanded tax credit for contractors who build energy-efficient homes.

September 20, 2023: The IRS announced plans to establish a special area that will focus on large or complex pass-through entities. The new work unit will be housed in the IRS Large Business and International (LB&I) division.

September 22, 2023: The IRS is requesting comments on Revenue Procedure 2004-47, which permits taxpayers who failed to make a reverse qualified terminable interest property (QTIP) election on an estate tax return to file certain documents with the Cincinnati Service Center directly to request relief in lieu of requesting a private letter ruling. Comments are invited on:

Whether the collection of information is necessary for the proper performance of the agency’s functions, including whether the information has practical utility
The accuracy of the agency’s estimate for the burden of the information collection
Ways to enhance the quality, utility and clarity of the information to be collected
Ways to minimize the burden of the information collection on other forms of information technology
Estimates for capital or startup costs and costs of operation, maintenance and purchase of services to provide information.

September 22, 2023: The IRS released its weekly list of written [...]

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Weekly IRS Roundup December 27 – December 31, 2021

by McDermott Will & Emery | Jan 6, 2022 | IRS Guidance, Tax Reform, Tax Refunds

Presented below is our summary of significant Internal Revenue Service (IRS) guidance and relevant tax matters for the week of December 27, 2021 – December 31, 2021. Additionally, for continuing updates on the tax impact of COVID-19, please visit our resource page here.

December 27, 2021: The IRS published a news release reminding employers and self-employed individuals who chose to defer paying part of their 2020 social security tax obligation that a payment is due on January 3, 2022.

December 27, 2021: The IRS published a news release announcing that Illinois victims of severe storms, straight-line winds and tornadoes beginning December 10, 2021, now have until May 16, 2022, to file various individual and business tax returns and make tax payments.

December 28, 2021: The IRS and the US Department of the Treasury published final regulations relating to the foreign tax credit, including the disallowance of a credit or deduction for foreign income taxes with respect to dividends eligible for a dividends-received deduction; the allocation and apportionment of interest expense, foreign income tax expense and certain deductions of life insurance companies; the definition of a foreign income tax and a tax in lieu of an income tax; the definition of foreign branch category income and the time at which foreign taxes accrue and can be claimed as a credit. The regulations also contain clarifying rules relating to foreign-derived intangible income (FDII). The final regulations affect taxpayers who claim credits or deductions for foreign income taxes or claim a deduction for FDII.

December 28, 2021: The IRS published a news release announcing that Alabama victims of severe storms and flooding beginning October 6, 2021, now have until February 28, 2022, to file various individual and business tax returns and make tax payments.

December 28, 2021: The IRS published a news release announcing that Arkansas victims of severe storms and tornadoes beginning December 10, 2021, now have until May 16, 2022, to file various individual and business tax returns and make tax payments.

December 29, 2021: The IRS released instructions for Forms 1099-MISC and 1099-NEC, Miscellaneous Information and Nonemployee Compensation. The changes reflect, among other things, the addition of a Foreign Account Tax Compliance Act (FATCA) filing requirement checkbox.

December 30, 2021: The IRS published a notice and request for comments concerning Notice 2021-57, funding relief for multiemployer defined benefit pension plans under the American Rescue Plan Act of 2021 (ARPA). Certain provisions of ARPA permitted plan sponsors to: (1) elect to delay designating a plan as being in endangered, critical or critical and declining status under Section 432(b)(3), as applicable, or to delay updating the plan’s funding improvement plan or rehabilitation plan, as applicable; (2) elect to extend the plan’s funding improvement period under Section 432(c)(4) or the rehabilitation period under Section 432(e)(4), as applicable and (3) spread certain investment losses and other experience losses related to [...]

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