Indian Tribal Governments Archives

Weekly IRS Roundup October 7 – October 11, 2024

by Kevin Spencer, Evan Walters and Sama Kaseer | Oct 24, 2024 | IRS Guidance, Tax Reform

Check out our summary of significant Internal Revenue Service (IRS) guidance and relevant tax matters for the week of October 7, 2024 – October 11, 2024.

October 7, 2024: The IRS released Internal Revenue Bulletin 2024-41, which includes the following:

Notice 2024-69, which provides the inflation adjustment factor and reference price for the renewable electricity production credit under 45 of the Internal Revenue Code (Code) for calendar year 2024. The inflation adjustment factor and reference price are used to determine the availability and amount of the credit for electricity produced from qualified energy resources in the United States or its possessions.
Revenue Procedure 2024-36, which updates the requirements for substitute IRS Forms W-2c and W-3c by detailing the specifications for red-ink and black-and-white forms as well as the electronic filing procedures. The new guidelines emphasize the importance of conforming to these specifications to avoid penalties and ensure proper processing by the IRS and Social Security Administration.

October 7, 2024: The IRS issued final regulations, which qualify certain syndicated conservation easement transactions as “listed transactions,” requiring their disclosure on IRS Form 8886, Reportable Transaction Disclosure Statement, and Form 8918, Material Advisor Disclosure Statement, by certain participants and material advisors. These regulations aim to prevent the use of inflated appraisals to claim unwarranted tax deductions and are effective as of October 8, 2024.

October 7, 2024: The IRS reminded taxpayers that the deadline to file their 2023 federal income tax returns is October 15, 2024. However, taxpayers in combat zones, disaster areas, and those affected by the terrorist attacks in Israel have extended deadlines to file and pay their taxes.

October 7, 2024: The IRS issued proposed regulations, which clarify that entities entirely owned by Indian tribal governments will not be recognized as separate entities for federal tax purposes or be subject to federal income tax. The regulations also provide that these entities may receive the value of certain energy credits under the Inflation Reduction Act of 2022.

October 10, 2024: The IRS announced it is processing approximately 400,000 Employee Retention Credit claims and is working on expediting these claims while ensuring compliance and preventing improper payments.

October 10, 2024: The IRS announced that the projected gross tax gap, which reflects the difference between true tax liability and taxes paid on time, for tax year 2022 has increased to $696 billion. The IRS attributes this increase to economic growth rather than changes in taxpayer behavior.

October 11, 2024: The IRS issued Revenue Procedure 2024-39, which grants certain entities an automatic six-month extension to file IRS Form 990-T, Exempt Organization Business Income Tax Return (and proxy tax under Section 6033(e) of the Code), for making elective payment elections under Code § 6417. This relief aims to assist entities unfamiliar with the filing process and those facing electronic filing limitations.

October 11, 2024: The IRS [...]

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Weekly IRS Roundup September 9 – September 13, 2024

by Kevin Spencer, Evan Walters and Sama Kaseer | Sep 19, 2024 | IRS Audits, IRS Guidance, Tax Reform

Check out our summary of significant Internal Revenue Service (IRS) guidance and relevant tax matters for the week of September 9, 2024 – September 13, 2024.

September 10, 2024: The IRS extended the deadline to file individual and business tax returns and make tax payments for certain individuals and businesses in Connecticut and New York that were affected by severe weather that began on August 18, 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 Suffolk County in New York and in Fairfield, Litchfield, and New Haven Counties in Connecticut.

September 11, 2024: The IRS released an updated version of IRS Form 1099-DA and draft instructions for digital asset brokers to report sales and exchanges of digital assets beginning in 2025.

September 11, 2024: The IRS reminded taxpayers of their right to finality under the Taxpayer Bill of Rights and to know the deadlines for challenging IRS decisions and the time limits for the IRS to audit or collect taxes. This right ensures that taxpayers are aware when an audit is concluded and understand the specific timeframes for various tax-related actions.

September 12, 2024: The IRS released Notice 2024-66, which provides relief from the penalty under Internal Revenue Code (Code) § 6655 for underpayments of estimated corporate alternative minimum tax (CAMT) installments by corporations for taxable years beginning after December 31, 2023, and before January 1, 2025. This notice extends and incorporates relief from previous notices, offering additional time for corporations to meet their estimated tax obligations.

September 12, 2024: The IRS reminded taxpayers that the Taxpayer Advocate Service, an independent organization within the IRS, provides free assistance to individuals, businesses, and exempt organizations experiencing financial difficulties or systemic issues that cannot be resolved through standard IRS procedures.

September 13, 2024: The IRS extended the deadline to file federal individual and business tax returns and make tax payments for certain individuals and businesses in Louisiana that were affected by Tropical Storm Francine. The new deadline is February 3, 2025. The extended deadline is available to taxpayers in any area designated by FEMA, including individuals and households that reside or have a business in any Louisiana county.

September 13, 2024: The IRS released proposed regulations that outline the rules for calculating adjusted financial statement income and determining applicable corporation status under the CAMT for tax years starting after 2022. The proposed regulations provide additional guidance on partnership investments, corporate transactions, and foreign tax credits and extend penalty relief for corporations failing to pay estimated CAMT for tax years beginning after December 31, 2023, and before January 1, 2025.

September 13, 2024: The IRS released proposed regulations that exclude Tribal general welfare benefits from gross income under [...]

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Weekly IRS Roundup March 20 – March 26, 2022

by McDermott Will & Emery | Mar 28, 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 March 20, 2022 – March 26, 2022. Additionally, for continuing updates on the tax impact of COVID-19, please visit our resource page here.

March 21, 2022: The IRS issued Revenue Ruling 2022-07, addressing the disclosure of tax information pursuant to certain exceptions to the general non-disclosure rule of Internal Revenue Code (Code) Section 6103(a). The Revenue Ruling, which modifies and supersedes Revenue Ruling 2004-53, generally holds that individuals who lawfully obtain tax information under the disclosure exception in Section 6103(c) of the Code are subject to restrictions on redisclosure. However, individuals who obtain tax information under the exceptions in Section 6103(e) or 6013(k)(6) of the Code are not subject to restrictions on redisclosure. The ruling further holds that these results are not affected by whether the individuals are government employees.

March 21, 2022: The IRS issued Notice 2022-14, providing guidance on various interest rates relevant to employee benefit plans under the Code.

March 22, 2022: The IRS issued a news release, providing tips to taxpayers on how to avoid common tax return filing mistakes.

March 22, 2022: The IRS issued a news release, reminding taxpayers of the various electronic payment and deferred payment options available to those who owe taxes with the filing of their individual income tax returns.

March 23, 2022: The IRS issued a news release, providing an update to a Fact Sheet that contains answers to frequently asked questions regarding the tax treatment of 2020 unemployment compensation, taking into account relief provided by the American Rescue Plan Act of 2021 (ARPA).

March 23, 2022: The IRS issued a news release, setting forth common reasons why certain tax refunds may take longer than 21 days to be issued.

March 25, 2022: The IRS issued proposed regulations, setting forth an exception to the “unified plan rule” for multiple employer plans (MEPs) under Section 413(c) of the Code.

March 25, 2022: The IRS issued Revenue Procedure 2022-15, providing an update to the rules taxpayers can use when generating substitutes for Form 941 (Employer’s Quarterly Federal Tax Return) and associated forms and schedules.

March 25, 2022: The IRS issued Revenue Procedure 2022-18, waiving the residence requirements needed to qualify for benefits under Section 911 of the Code for the 2021 taxable year, with respect to certain individual taxpayers who departed from Iraq, Burma, Chad, Afghanistan or Ethiopia in 2021.

March 25, 2022: The IRS issued a news release estimating that a total of nearly $1.5 billion worth of unclaimed tax refunds are available to approximately 1.5 million taxpayers who did not file individual income tax returns for the 2018 taxable year and urging those taxpayers to file such returns prior to the applicable deadlines in [...]

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