Presented below is our summary of significant Internal Revenue Service (IRS) guidance and relevant tax matters for the week of March 8, 2021 – March 12, 2021. Additionally, for continuing updates on the tax impact of COVID-19, please visit our resource page here.
March 11, 2021: The IRS released Internal Revenue Bulletin 2021-11, dated March 15, 2021, containing the following highlights: Notice 2021-20 (Employment Tax); Notice 2021-18 (Income Tax) and Notice 2021-19 (Income Tax).
March 12, 2021: The IRS updated its campaign list to add a new campaign for compliance with section 179D and to retire the campaign for the proper treatment of economic development incentives.
March 12, 2021: The IRS issued a Practice Unit on selling a partnership interest, covering areas such as: (1) ownership changes on sale of interest to a new or existing partner; (2) proper reporting of gain; (3) section 751 assets; (4) section 1250 assets and (5) section 754 elections.
March 12, 2021: The IRS requested comments on Form 1099-C (Cancellation of Debt) regarding cancellation of debt and removal of the 36-month non-payment testing period rule.
March 12, 2021: The IRS released its weekly list of written determinations (e.g., Private Letter Rulings, Technical Advice Memorandums and Chief Counsel Advice).
Special thanks to Samuel DiPietro in our Chicago office for this week’s roundup.