Federal Tax Update Podcast

This week we look at:

• §199A final regulations – a pre-tax season package that had to be quickly understood
• 2019’s year end tax bills – comes in three parts, along with a good portion of the government’s full appropriations package
• The IRS’s fascination with tax basis capital, and the profession’s reaction to the same
• §199A FAQ – so we’ll have fewer sub-regulatory guidance items, but that doesn’t mean it all gets reviewed like regulations. Or, perhaps, be careful what you wish for…
• States looking to extend their tax reach, but in a case with limited application SCOTUS did find there are some limits
• Additional items beyond the top five…

Copyright 2019, Kaplan, Inc.

Current Federal Tax Developments for the week of December 23, 2019: A Tax Bill for the Holidays

• Further Consolidated Appropriations Act, 2020 signed into law on December 20, 2019
  • SECURE Act
    • The good: Delay in required beginning date for plan distributions, later plan adoption date, etc.
    • The bad: Death of the stretch IRA
  • Extenders apply retroactively - so there are some amended returns that will be needed
  • Tax-exempt version of the parking lot tax is gone, but the for profit version is still around

Copyright 2019, Kaplan, Inc.

Current Federal Tax Developments for the week of December 16, 2019: The Sound of Silence

• IRS does not have the discretion to waive repayment of advance premium credit
• Employer who reimburses employee when transit card fails to function has to include amount in wages per CCA
• IRS issues more proposed regulations on state tax issues and charitable contributions, but remains silent on passthrough tax issues
• IRS grants relief from use of tax basis capital account on partnership K-1s for one year

Copyright 2019, Kaplan, Inc.

Current Federal Tax Developments for the week of December 9, 2019: Bring in the Forms

• Final version of 2020 Form W-4 released Final versions of 2019 Forms 1040, 1040-SR, Schedules 2 and 3 released
• Shortly thereafter, final version of Schedule 1 released still containing question about virtual currency
• Relief for provision of Forms 1095-B and C
• Detailed guidance issued for IRS agents on BBA audit procedures

Copyright 2019, Kaplan, Inc.