educational assistance programs Archives

Weekly IRS Roundup June 17 – June 21, 2024

by Evan Walters, Kevin Spencer and Sama Kaseer | Jun 27, 2024 | IRS Guidance, Tax Reform

Check out our summary of significant Internal Revenue Service (IRS) guidance and relevant tax matters for the week of June 17, 2024 – June 21, 2024.

June 17, 2024: The IRS released Internal Revenue Bulletin 2024-25, which includes the following:

Revenue Ruling 2024-12, which provides the June 2024 applicable federal rates.
Treasury Decision 9993, which provides final regulations on the election under Internal Revenue Code (Code) 6418 to transfer eligible energy credits, effective July 1, 2024.
Treasury Decision 9997, which reduces the cost of applying for or renewing a preparer tax identification number from $21 to $11.
Proposed Regulations, which would remove the “associated property rule” and related rules from the regulations on interest capitalization requirements for improvements to “designated property” under Code 263A(f) and clarify the definition of “improvement” in the existing regulations.

June 17, 2024: The IRS announced the establishment of a new dedicated group within the Office of Chief Counsel that will focus on developing guidance for partnerships, specifically with respect to the use of “basis shifting” transactions by related-party partnerships.

June 17, 2024: The IRS released guidance intended to target certain transactions that use the basis adjustment provisions in Code §§ 734, 743, 754 and 755 to shift basis to depreciable property through partnership transactions. This guidance includes:

Revenue Ruling 2024-14, which identifies three types of basis shifting transactions involving related parties that, according to the IRS, should be disallowed for lack of economic substance.
Notice 2024-54, which announces the IRS’s intent to propose regulations under Code §§ 732, 734, 743 and 755 that, if finalized, are intended to take effect on or after June 17, 2024. The regulations would identify several types of “covered transactions” in which basis step-ups resulting from partnership transactions would be disallowed. Unlike Revenue Ruling 2024-14, these regulations would not depend on a covered transaction lacking economic substance.
Proposed Regulation § 1.6011-18, which would identify certain partnership basis shifting transactions as “transactions of interest,” which generally must be disclosed to the IRS.

June 17, 2024: The IRS provided general tips for taxpayers benefiting from educational assistance programs under Code § 127 with respect to the treatment of certain educational expenses, qualified education loans and working condition fringe benefits.

June 17, 2024: The IRS released Notice 2024-53, which provides the 24-month average corporate bond segment rates for June 2024, yield curve and segment rates for single-employer plans and 30-year Treasury securities interest rates.

June 18, 2024: The IRS announced the release of final regulations for taxpayers who satisfy certain prevailing wage and apprenticeship (PWA) requirements regarding the construction, alteration or repair of certain clean energy facilities or properties, projects or equipment. Taxpayers who satisfy these PWA requirements are eligible for increased credit or deduction amounts for certain clean energy [...]

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Weekly IRS Roundup September 25 – September 29, 2023

by Evan Walters | Oct 5, 2023 | IRS Guidance, Tax Reform, Tax Refunds

Check out our summary of significant Internal Revenue Service (IRS) guidance and relevant tax matters for the week of September 25, 2023 – September 29, 2023.

September 25, 2023: The IRS released Internal Revenue Bulletin 2023-39, which includes the following:

Notice 2023-63 provides interim guidance on the treatment of research and experimental expenditures under Code Section 174, requests comments on issues related to the interim guidance and announces an intent to issue regulatory guidance.
Proposed regulations that outline the rules for satisfying the prevailing wage and registered apprenticeship requirements under the IRA.

September 25, 2023: The IRS published Notice 2023-68, providing the special per diem rates for taxpayers to use in substantiating the amount of ordinary and necessary business expenses incurred while traveling, including (1) the rates for special transportation industry meal and incidental expenses, (2) the rate for the incidental expenses only deduction and (3) the rates and list of high-cost localities for purposes of the high-low substantiation method.

September 25, 2023: The IRS published Tax Tip 2023-114, advising employers that educational assistance programs can be used to help pay their employees’ student loans.

September 25, 2023: The IRS announced that individuals and businesses affected by Hurricane Lee in Maine and Massachusetts now have until February 15, 2024, to file various tax returns and make tax payments.

September 26, 2023: The IRS announced that a public hearing on proposed regulations relating to excise taxes imposed on certain chemicals and imported substances will be held on October 25, 2023, at 10:00 am (EDT). Speakers’ discussion topic outlines are due October 11, 2023.

September 26, 2023: The IRS published Tax Tip 2023-115, reminding businesses that file 10 or more information returns that, beginning January 1, 2024, they must electronically file Form 8300 for cash payments over $10,000.

September 26, 2023: The IRS announced the availability of expanded chatbot technology that answers basic questions for people who receive notices about possibly underreporting their taxes. The new chatbot feature will assist taxpayers who receive notices CP2000, CP2501 and CP3219A. These mailings inform taxpayers if the tax information the IRS received from third parties doesn’t match the information they provided themselves to the IRS.

September 27, 2023: The IRS published Notice 2023-65, providing guidance on the energy efficient home credit under Code § 45L. The guidance addresses:

Who is eligible for the credit
How to determine the applicable amount of the credit
Energy saving requirements
Certification requirements
Substantiation requirements.

This notice obsoletes Notice 2008-35, 2008-1 C.B. 647 and Notice 2008-36, 2008-1 C.B. 650, which apply for purposes of the former Code § 45L.

September 27, 2023: The IRS published Notice 2023-67, giving farmers and ranchers who were impacted by drought an extra year to replace livestock from forced sales and defer gains under Code § 1033(e).

September 28, [...]

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Weekly IRS Roundup August 21 – September 1, 2023

by Evan Walters | Sep 5, 2023 | IRS Guidance, Tax Reform, Tax Refunds
Check out our summary of significant Internal Revenue Service (IRS) guidance and relevant tax matters for August 21, 2023 – September 1, 2023.[1]

August 21, 2023: The IRS released Tax Tip 2023-102, warning tax professionals to be prepared for a variety of schemes aimed at stealing sensitive information, including phishing and attacks on cloud-based applications.

August 23, 2023: The IRS published Revenue Procedure 2023-29, providing the applicable percentage table used to calculate the premium tax credit under Section 36B.

August 24, 2023: The IRS reminded employers and employees that employers who have educational assistance programs can use those programs to help pay student loan obligations for their employees.

August 24, 2023: The IRS released Tax Tip 2023-103, outlining the Heavy Highway Vehicle Use Tax and reminding truckers that the tax payment due date is the last day of the month following the month the vehicle was first used on public highways. Truckers must also file Form 2290, Heavy Highway Vehicle Use Tax Return, by such date.

August 25, 2023: The IRS published Revenue Ruling 2023-17, which provides guidance on the overpayment and underpayment rate of tax under Section 6621. The ruling includes a table of interest rates spanning from 1975 through the present.

August 25, 2023: The IRS published Notice 2023-62, which provides guidance on particular issues involving catch-up contributions to retirement plans that are eligible to be designated as Roth contributions.

August 25, 2023: The IRS released its weekly list of written determinations (e.g., Private Letter Rulings, Technical Advice Memorandums and Chief Counsel Advice).

August 28, 2023: The IRS released Tax Tip 2023-104, explaining that eligible teachers and administrators can claim a tax deduction for part of the cost of technology, supplies and training to the extent those expenses are not reimbursed.

August 29, 2023: The IRS issued proposed regulations that would require brokers to report sales and exchanges of digital assets by customers. The proposed regulations contemplate the creation of new Form 1099-DA.

August 29, 2023: The IRS released Tax Tip 2023-105, listing miscellaneous resources for military spouses who run businesses or do gig work.

August 30, 2023: The IRS issued proposed regulations, frequently asked questions and Publication 5855, which all relate to the increased tax credit or deduction amounts for clean energy facilities and projects if taxpayers satisfy certain prevailing wage and registered apprenticeship requirements.

August 30, 2023: The IRS announced that starting January 1, 2024, Form 8300, Report of Cash Payments Over $10,000, must be filed electronically. (See also FS-2023-19 (August 19, 2023).)

August 30, 2023: The IRS announced tax relief for individuals and businesses in parts of Florida affected by Hurricane Idalia. Currently, [...]

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