Check out our summary of significant Internal Revenue Service (IRS) guidance and relevant tax matters for the week of July 22, 2024 – July 26, 2024.

July 22, 2024: The IRS released Internal Revenue Bulletin 2024-30, which includes the following:

• Treasury Decision 9999, which sets forth final regulations under § 170 and § 706 of the Internal Revenue Code (Code) that disallow deductions for qualified conservation contributions that exceed 2.5 times a partner’s relevant basis in a partnership. The final regulations include similar rules for S corporations and add additional reporting requirements.
• Notice 2024-59, which provides the applicable percentage under Code § 613A to be used in determining percentage depletion for marginal properties for the 2024 calendar year.
• Revenue Procedure 2024-29, which sets the 2024 requirements for using IRS forms and preparing acceptable substitutes of the IRS forms to file information returns with the IRS and to furnish information to recipients.

July 22, 2024: The IRS encouraged taxpayers who requested an extension to file their taxes by October 15, 2024, to use IRS Free File and other online resources to help them file early and avoid last-minute rushes.

July 22, 2024: The IRS updated frequently asked questions relating to the credits available for new and previously owned clean vehicles for individuals and businesses to incorporate eligibility rules, income limitations, transfer rules and dealer registration.

July 22, 2024: The IRS extended the deadline to file federal individual and business tax returns and make tax payments for certain individuals and businesses in Texas that were affected by Hurricane Beryl since July 5, 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, including individuals and households that reside or have a business in Harris County and 66 other Texas counties.

July 23, 2024: The IRS encouraged tax professionals to identify data theft indicators to safeguard their clients and businesses, stressing the need for quick action in response to identity theft incidents and offering guidelines on detecting warning signs.

July 24, 2024: The IRS released Notice 2024-60, outlining the contents and submission procedures for lifecycle analysis reports on carbon capture property placed in service on or after February 18, 2018. These reports must be approved by the IRS and the US Department of Energy before taxpayers could claim the Carbon Oxide Sequestration Credit under Code § 45Q.

July 24, 2024: The IRS encouraged tax professionals to register for the Nationwide Tax Forum in Baltimore and Dallas this August, noting that several locations have already sold out.

July 25, 2024: The IRS reported substantial advancements in taxpayer services and online tools funded by the Inflation Reduction Act, including new features for Individual Online Accounts and a Spanish version of the Business Tax Account tool.

[...]

Continue Reading