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Weekly IRS Roundup January 1 – January 5, 2024

by , and | Jan 9, 2024 | , ,

Check out our summary of significant Internal Revenue Service (IRS) guidance and relevant tax matters for the week of January 1, 2024 – January 5, 2024.

January 2, 2024: The IRS released Internal Revenue Bulletin 2024-1, which includes the following:

  • Revenue Procedure 2024-1, which contains the revised procedures for letter rulings and information letters issued by the different offices of the associate chief counsel. This revenue procedure also contains the revised procedures for determination letters issued by the Large Business and International Division, the Small Business/Self-Employed Division, the Wage and Investment Division and the Tax Exempt and Government Entities (TE/GE) Division.
  • Revenue Procedure 2024-2, which explains when and how associate chief counsel offices should provide advice in technical advice memoranda (TAM). The revenue procedure also explains taxpayers’ rights when a field office requests a TAM.
  • Revenue Procedure 2024-3, which provides a revised list of areas of the Internal Revenue Code under the jurisdiction of the associate chief counsel’s offices of Corporate; Financial Institutions and Products; Income Tax and Accounting; Passthroughs and Special Industries; Procedure and Administration; and Employee Benefits, Exempt Organizations, and Employment Taxes. These relate to matters in which the IRS will not issue letter rulings or determination letters.
  • Revenue Procedure 2024-4, which provides guidance on the types of advice the IRS offers to taxpayers on issues under the jurisdiction of the Commissioner, TE/GE Division and Employee Plans Rulings and Agreements. It also details the procedures that apply to requests for determination letters and private letter rulings. This revenue procedure updates Revenue Procedure 2023-4.
  • Revenue Procedure 2024-5, which provides the procedures for issuing determination letters on issues under the jurisdiction of the Director, Exempt Organizations Rulings and Agreements.
  • Revenue Procedure 2024-7, which provides the areas under the jurisdiction of the associate chief counsel (international) in which letter rulings and determination letters will not be issued.

January 4, 2024: The IRS encouraged taxpayers to check out IRS.gov for tips, tools and resources to help them prepare to file their 2023 federal income tax returns.

January 4, 2024: The IRS published Tax Tip 2024-01, which provides a brief overview of tax credits and deductions for individuals.

January 5, 2024: The IRS announced an extension for dealers and sellers of clean vehicles to submit time-of-sale reports. Dealers and sellers generally will now have until January 19, 2024, to submit a time-of-sale report for vehicles sold from January 1, 2024, through January 16, 2024.

January 5, 2024: The IRS announced the launch of a special Tax Professional Awareness Week that will commence January 8, 2024, and assist tax professionals on what to expect during the 2024 filing season.

January 5, 2024: The IRS released its weekly list of written determinations (e.g., Private Letter Rulings, Technical Advice Memorandums and Chief [...]

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Weekly IRS Roundup April 3 – April 7, 2023

by | Apr 10, 2023 | , ,

Check out our summary of significant Internal Revenue Service (IRS) guidance and relevant tax matters for the week of April 3, 2023 – April 7, 2023.

April 3, 2023: The IRS released Internal Revenue Bulletin 2023-14, which highlights the following:

  • Notice 2023-25: This notice provides guidance on the corporate bond monthly yield curve, the corresponding spot segment rates and the 24-month average segment rates. It also provides guidance as to the interest rate on 30-year Treasury securities as in effect for plan years beginning before 2008 and the 30-year Treasury weighted average rate.
  • Revenue Ruling 23-6: This revenue ruling provides the applicable federal rates for federal income tax purposes for April 2023. The annual short-term rate is 3.67%, the mid-term rate is 3.14% and the long-term rate is 3.04%.

April 3, 2023: The IRS released Notice 2023-31, announcing an Extension of the Transition Period for the Single-Country Exception Under Section 903.

April 3, 2023: The IRS announced special Saturday hours at Taxpayer Assistance Centers. The final Saturday opening will be May 13, 2023, from 9:00 am to 4:00 pm.

April 3, 2023: The IRS released the last entry in its Dirty Dozen campaign, cautioning taxpayers to beware of promoters peddling bogus tax schemes aimed at reducing or avoiding taxes.

April 3, 2023: The IRS announced that Arkansas storm victims now have until July 31, 2023, to file various federal individual and business tax returns and make tax payments as a result of storms that occurred on March 31, 2023. Relief is available to anyone in an area designated by the Federal Emergency Management Agency as qualifying for individual or public assistance. The current list of eligible localities is available here.

April 3, 2023: The IRS reminded taxpayers that tax credits are available for a portion of the qualifying expenses related to energy improvements to their homes. Taxpayers can claim either the Energy Efficient Home Improvement Credit or the Residential Energy Clean Property Credit for the year when qualifying improvements are made.

April 3, 2023: The IRS released Tax Tip 2023-43, reminding taxpayers that IRS.gov has tax information in seven languages: Spanish, Chinese Traditional, Chinese Simplified, Korean, Russian, Vietnamese and Haitian Creole.

April 4, 2023: The IRS released Revenue Procedure 2023-12, which updates the procedures for exempt organizations determination letters with respect to the electronically submitted Form 8940, Request for Miscellaneous Determination. This modification to Revenue Procedure 2023-5 provides that the electronic submission process is the exclusive means of submitting a completed Form 8940, except for submissions eligible for the 90-day transition relief.

April 4, 2023: The IRS announced guidance related to the eligibility requirement for energy communities for the bonus credit program under the Inflation Reduction Act of 2022 (IRA). Notice 2023-29 describes certain [...]

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Weekly IRS Roundup January 3 – January 6, 2023

by | Jan 9, 2023 | , ,

Presented below is our summary of significant Internal Revenue Service (IRS) guidance and relevant tax matters for the week of January 3, 2023 – January 6, 2023.

January 3, 2023: The IRS released Internal Revenue Bulletin 2023-1, which highlights the following:

  • Revenue Procedure 2023-1: This contains the revised procedures for letter rulings and information letters issued by the different offices of the Associate Chief Counsel. This procedure also contains the revised procedures for determination letters issued by the Large Business and International (LB&I) Division, the Small Business/Self Employed Division, the Wage and Investment Division and the Tax Exempt and Government Entities (TE/GE) Division.
  • Revenue Procedure 2023-2: This procedure explains when and how an associate office within the Office of Chief Counsel provides technical advice conveyed in technical advice memoranda (TAM). It also explains the rights a taxpayer has when a field office requests a TAM.
  • Revenue Procedure 2023-3: This procedure provides a revised list of areas of the Internal Revenue Code (IRC) under the jurisdiction of the Associate Chief Counsel offices of Corporate, Financial Institutions and Products, Income Tax and Accounting, Passthroughs and Special Industries, Procedure and Administration, Employee Benefits, Exempt Organizations and Employment Taxes. These relate to matters in which the IRS will not issue letter rulings or determination letters.
  • Revenue Procedure 2023-4: This document provides guidance relating to the types of advice the IRS provides to taxpayers on issues under the jurisdiction of the TE/GE Division, Employee Plans Rulings and Agreements and the procedures that apply to requests for determination letters and private letter rulings.
  • Revenue Procedure 2023-5: This provides the procedures for issuing determination letters on items under the jurisdiction of the Director, Exempt Organizations Rulings and Agreements.
  • Revenue Procedure 2023-7: This procedure provides the areas under the jurisdiction of the Associate Chief Counsel International in which rulings will not be issued.

January 3, 2023: The IRS encouraged taxpayers to review the Taxpayer Bill of Rights, which may help resolve filing season questions. Each month, Tax Tips will focus on one of the 10 categories of taxpayer rights.

January 3, 2023: The IRS issued Revenue Procedure 2023-10, which prescribes the loss payment patterns for the 2022 determination year and the discount factors for the 2022 accident year for use by insurance companies in computing discounted unpaid losses under Section 846 and discounted estimated salvage recoverable under Section 832.

January 4, 2023: The IRS reminded taxpayers that final 2022 quarterly estimated tax payments are due January 17. The IRS recommends for taxpayers who earn or receive income not subject to tax withholding, such as self-employed individuals or independent contractors, to pay their taxes quarterly.

January 5, 2023: The IRS released its latest executive column in A Closer [...]

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Weekly IRS Roundup December 13 – December 17, 2021

by | Dec 21, 2021 | , ,

Presented below is our summary of significant Internal Revenue Service (IRS) guidance and relevant tax matters for the week of December 13, 2021 – December 17, 2021. Additionally, for continuing updates on the tax impact of COVID-19, please visit our resource page here.

December 13, 2021: The IRS published a memorandum concerning its commitment to creating an environment conducive to civility, which includes mutual respect, politeness and fairness. The IRS stated that acting with civility and treating others with respect furthers confidence in the legal system, thus enhancing the quality of justice. The memorandum also stated that the IRS’s sole objective is to reach the correct result.

December 13, 2021: The IRS issued a news release announcing that it joined with several leading nonprofits to highlight a special tax provision that allows more people to deduct donations to qualifying charities on their 2021 federal income tax return.

December 14, 2021: The IRS released a practice unit, providing an overview of base erosion anti-abuse tax under Section 59A after issuance of final regulatory packages in 2019 and 2020.

December 14, 2021: The IRS released a practice unit, addressing the general process for determining if a nonresident alien (NRA) student, trainee, teacher or researcher is eligible to claim a treaty-based exemption on Form 1040NR or Form 1040NR-EZ for income received that is effectively connected with a US trade or business.

December 14, 2021: The IRS released a practice unit, guiding examiners through the procedures for properly conducting promoter investigations. The goal of a promoter investigation is to identify and quickly terminate the abusive promotion or activity, assert promoter penalties where applicable and identify participants in the abusive transaction.

December 14, 2021: The IRS released a practice unit, reflecting the recently finalized Treasury Regulation 1.861-9 (regarding interest expense apportionment) and addressing the impact of flow-through entities on the foreign tax credit. The concept unit is applicable to individual taxpayers who receive Schedule K-1(s) from partnerships or S corporations that report foreign income, related deductions and taxes. Members of limited liability companies who file a Form 1065 and beneficiaries of a trust who file a Form 1041 are also subject to the rules discussed in the practice unit.

December 14, 2021: The IRS released a practice unit, explaining the process for calculating the interest due under Section 453A on a deferred tax liability in installment sales transactions.

December 14, 2021: The IRS published a news release announcing that victims of tornadoes in Kentucky will have until May 16, 2022, to file various individual and business tax returns and make tax payments.

December 14, 2021: The IRS published a revenue ruling, providing various prescribed rates for federal income tax purposes for January 2022.

December 15, 2021: The IRS published a notice concerning procedures under Section 446 of Section 1.446-1(e) of the Income [...]

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