Weekly IRS Roundup November 30 – December 4, 2020

Presented below is our summary of significant Internal Revenue Service (IRS) guidance and relevant tax matters for the week of November 30, 2020 – December 4, 2020. Additionally, for continuing updates on the tax impact of COVID-19, please visit our resource page here.

November 30, 2020: After releasing a pre-publication draft in early October, the IRS published TD 9926 in the Federal Register, which provides final regulations regarding withholding of tax and information reporting with respect to certain dispositions of interests in partnerships engaged in a trade or business within the United States under section 1446(f).

December 3, 2020: The IRS released Rev. Rul. 2020-28 related to the determination of the rate of interest under section 6621.

December 3, 2020: The IRS released Draft Instructions to Form 8992 related to the deduction for foreign-derived intangible income (FDII) and global intangible low-taxed income (GILTI).

December 4, 2020: The IRS issued REG-111950-20 regarding passive foreign investment companies (PFICs) and the treatment of qualified improvement property under the alternative depreciation system.

December 4, 2020: The IRS issued TD 9936 regarding PFICs.

December 4, 2020: The IRS issued the Fall 2020 Statistics of Income Bulletin providing data about tax and information returns. The Bulletin highlights high-income tax returns for Tax Year 2017 and partnership returns for Tax Year 2018.

December 4, 2020: The IRS issued a Statement warning that employers will experience delays in receiving payments associated with Form 7200 Advance Payment of Employer Credits.

December 4, 2020: The IRS released Internal Revenue Bulletin 2020-50, dated December 7, 2020, containing the following highlights: Notice 2020-83 (Employee Plans); TD 9923 (Exempt Organizations); Rev. Proc. 2020-51 (Income Tax); Rev. Rul. 2020-26 (Income Tax); Rev. Rul. 2020-27 (Income Tax).

December 4, 2020: The IRS released its weekly list of written determinations (e.g., Private Letter Rulings, Technical Advice Memorandums and Chief Counsel Advice).

Special thanks to Brian Moore in our Washington, DC, office for this week’s roundup.



The End of an Era—Senior Judge Robert P. Ruwe Retires from US Tax Court

The US Tax Court (Tax Court) recently announced that Senior Judge Robert P. Ruwe has fully retired as of November 25, 2020, after more than 33 years on the bench. Judge Ruwe graduated from Xavier University and was first in his class in law school at the Salmon P. Chase College of Law. He then joined the Internal Revenue Service (IRS), where he held various positions, including Director, Tax Litigation Division. Judge Ruwe was appointed to the Tax Court in 1987 and, after his 15-year term expired, he served as a senior judge. In 2012, Judge Ruwe received the J. Edgar Murdock Award for his distinguished service to the Tax Court.

At the time of his retirement, Judge Ruwe had authored hundreds of opinions, including many noteworthy concurrences and dissents. Some memorable ones include: (i) Rauenhorst v. Commissioner, 119 TC 157 (2002) (holding that the IRS was bound by its position in published guidance, and treating that position as a concession); (ii) Rhone-Poulenc Surfactants and Specialties, L.P. v. Commissioner, 114 TC 533 (2000) and GAF Corp. v. Commissioner, 114 TC 519 (2000) (addressing complex Tax Equity and Fiscal Responsibility Act (TEFRA) statute of limitations issues); Turner Broad. Sys. Inc. v. Commissioner, 111 TC 315 (1998) (requiring IRS to account for all the results of a transaction when seeking to recharacterize it); and (iv) Wayne Bolt & Nut Co. v. Commissioner, 93 TC 500 (1989) (accounting method changes).

We both served as attorney-advisors for Judge Ruwe in the early 2000s, and benefited significantly from his experience and wisdom. He was an excellent teacher and mentor to us during our time at the Tax Court, taking the time to explain the law and ways in which we could improve our research and writing skills. His grasp and memory of the tax law were extraordinary—he would frequently mention a legal principle and then cite us to the exact TC volume containing the case stating that principle. Additionally, he was interested in our personal lives, and we frequently took long walks with him throughout downtown Washington, DC, discussing not only pending cases but also topics like US history, sports and our families. We wish Judge Ruwe all the best in his retirement!



Weekly IRS Roundup November 23 – November 27, 2020

Presented below is our summary of significant Internal Revenue Service (IRS) guidance and relevant tax matters for the week of November 23, 2020 – November 27, 2020. Additionally, for continuing updates on the tax impact of COVID-19, please visit our resource page here.

November 23, 2020: The IRS released TD 9935, providing final regulations implementing statutory changes to the treatment of like-kind exchanges.

November 23, 2020: The IRS issued a News Release announcing a research partnership to improve IRS procurement operations.

November 24, 2020: The IRS released Notice 2020-84 announcing the adjusted applicable dollar amount for calculating the fee imposed by sections 4375 and 4376 for certain health plans.

November 25, 2020: The IRS updated FAQs providing guidance on What Is an Eligible Employer for COVID-19-related tax credit purposes and How to Claim the Credits.

November 27, 2020: The IRS released Internal Revenue Bulletin 2020-49, dated November 30, 2020, containing the following highlights: Notice 2020-81 (Employee Plans); Notice 2020-82 (Employee Plans); TD 9929 (Employee Plans); TD 9930 (Employee Plans); REG-101657-20 (Income Tax); Rev. Proc. 2020-48 (Income Tax); TD 9922 (Income Tax); and Notice 2020-75 (Income Tax).

November 27, 2020: The IRS released its weekly list of written determinations (e.g., Private Letter Rulings, Technical Advice Memorandums and Chief Counsel Advice).

Special thanks to Brian Moore in our Washington, DC, office for this week’s roundup.



Weekly IRS Roundup November 16 – November 20, 2020

Presented below is our summary of significant Internal Revenue Service (IRS) guidance and relevant tax matters for the week of November 16, 2020 – November 20, 2020. Additionally, for continuing updates on the tax impact of COVID-19, please visit our resource page here.

November 16, 2020: The IRS released Notice 2020-82 related to the due date for certain contributions to defined benefit plans.

November 16, 2020: The IRS released Revenue Ruling 2020-26 updating the applicable federal rate and various other prescribed rates for December 2020.

November 16, 2020: The IRS released Notice 2020-81 updating weighted average interest rates, yield curves, and segment rates.

November 18, 2020: The IRS released Revenue Ruling 2020-27 related to deductions for expenses paid with Paycheck Protection Program (PPP) loans.

November 18, 2020: The IRS released Revenue Procedure 2020-51 providing a safe harbor for deductions for expenses paid with PPP loans when loan forgiveness is denied or the taxpayer forgoes forgiveness.

November 19, 2020: The IRS released TD 9933 containing final regulations to provide guidance regarding unrelated business taxable income of exempt organization.

November 20, 2020: The IRS released Notice 2020-83 announcing the Required Amendments List for qualified retirement plans and section 403(b) retirement plans.

November 20, 2020: The IRS released TD 9934 containing final regulations to coordinate the extraordinary disposition rule under section 245A with the disqualified basis and disqualified payment rules under section 951A.

November 20, 2020: The IRS released Internal Revenue Bulletin 2020-47, dated November 23, 2020, containing the following highlights: Rev. Proc. 2020-49 (Administrative); REG-122462-20 (Employee Plans); Rev. Proc. 2020-47 (Employee Tax); Rev. Rule. 2020-25 (Income Tax); Rev. Proc. 2020-50 (Income Tax); T.D. 9919 (Income Tax); and T.D. 9931 (Temporary Regulation).

November 20, 2020: The IRS released an audit technique guide for conservation easements.

November 20, 2020: The IRS released its weekly list of written determinations (e.g., Private Letter Rulings, Technical Advice Memorandums and Chief Counsel Advice).

Special thanks to Brian Moore in our Washington, D.C. office for this week’s roundup.



Weekly IRS Roundup November 9 – November 13, 2020

Presented below is our summary of significant Internal Revenue Service (IRS) guidance and relevant tax matters for the week of November 9, 2020 – November 13, 2020. Additionally, for continuing updates on the tax impact of COVID-19, please visit our resource page here.

November 9, 2020: The IRS released Notice 2020-75 announcing the IRS’ intention to issue proposed regulations permitting partnerships and S corporations to deduct certain state and local income taxes in computing non-separately stated taxable income.

November 12, 2020: The IRS released draft instructions for Form 1120-F Schedule H related to deductions allocated to effectively connected income (ECI) under Treas. Reg. § 1.861-8. Additionally, the IRS released draft instructions for Form 1120-F Schedule I related to interest expense allocation under Treas. Reg. § 1.882-5.

November 13, 2020: The IRS published corrections to TD 9909 related to the limitation on deduction for dividends received from certain foreign corporations.

November 13, 2020: The IRS posted a News Release announcing that to protect business taxpayers from identity theft, the IRS would mask sensitive data on business tax transcripts.

November 13, 2020: The IRS released Internal Revenue Bulletin 2020-47, dated November 16, 2020, containing the following highlights: Announcement 2020-19 (Administrative); Notice 2020-76 (Administrative); Notice 2020-80 (Employee Plans); Rev. Rul. 2020-23 (Employee Plans); REG-119890-18 (Income Tax); and TD 9927 (Income Tax).

November 13, 2020: The IRS released its weekly list of written determinations (e.g., Private Letter Rulings, Technical Advice Memorandums and Chief Counsel Advice).

Special thanks to Brian Moore in our Washington, DC, office for this week’s roundup.



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