Tax Alerts

IRS Announces New 90-Day Pre-Examination Compliance Pilot

The IRS Employee Plans function is piloting a pre-examination retirement plan compliance program beginning in June 2022. This program will notify a plan sponsor by letter that their retirement plan was selected for an upcoming examination. The letter allows a plan sponsor a 90-day window to review their plan’s document and operations to determine if they meet current tax law requirements. If the plan sponsor does not respond within 90 days, the IRS will contact them to schedule an exam.

Further, if the sponsor’s review reveals mistakes in the plan’s documents or operations, they may be able to self-correct those mistakes using the correction principles in the IRS’ voluntary compliance program (EPCRS), described in Rev. Proc. 2021-30. Additionally, if the sponsor finds mistakes during their review that aren’t eligible to be self-corrected, they can request a closing agreement.

The IRS will review the sponsor’s documentation and determine if the agency agrees with the sponsor’s conclusions. Further, the IRS will then issue a closing letter or conduct either a limited or full scope examination. Through this program, the IRS aims to reduce taxpayer burden and reduce the amount of time spent on retirement plan examinations. Finally, at the end of this pilot, the IRS will evaluate its effectiveness and determine if it should be a part of the IRS’ overall compliance strategy.

Rates Used in Computing Special Use Value Issued, Rev. Rul. 2022-16

A listing of the average annual effective interest rates on new loans under the Farm Credit System has been issued […]

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Rates Used in Computing Special Use Value Issued, Rev. Rul. 2022-16

IRS Unintentionally Releases Form 990-T Data

The Internal Revenue Service announced that it has unintentionally made certain data collected from Form 990-T available for bulk download […]

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IRS Unintentionally Releases Form 990-T Data

IRS Clarifies Instructions for Form 8996, IRS Post-Release Changes to Tax Forms, Instructions, and Publications

The IRS has clarified that qualified opportunity zone businesses should not file Form 8996. Form 8996 is filed only by […]

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IRS Clarifies Instructions for Form 8996, IRS Post-Release Changes to Tax Forms, Instructions, and Publications

List of Countries with U.S. Exchange of Information Agreements Updated, Rev. Proc. 2022-35

The IRS has supplemented the list of countries with which the U.S. has an agreement relating to the exchange of […]

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List of Countries with U.S. Exchange of Information Agreements Updated, Rev. Proc. 2022-35

Tuition Debt Relief Will Not Be Taxable Income

The recently announced tuition debt relief program will not add to the tax burden of individuals who are able to […]

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Tuition Debt Relief Will Not Be Taxable Income

IRS Updates Premium Tax Credit Table, Required Contribution Percentage, Rev. Proc. 2022-34

The IRS has updated the applicable percentage table used to calculate an individual’s premium tax credit and required contribution percentage […]

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IRS Updates Premium Tax Credit Table, Required Contribution Percentage, Rev. Proc. 2022-34

Reproduction/Substitute Information Returns Requirements Issued, Rev. Proc. 2022-30

The IRS has provided the specifications for the private printing of red-ink substitutes for the 2022 revisions of information returns, […]

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Reproduction/Substitute Information Returns Requirements Issued, Rev. Proc. 2022-30

IRS Advises Tax Professionals on Signs of Identity Theft, IR-2022-144

The IRS and Security Summit partners have urged tax professionals to be vigilant and look out for the signs of […]

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IRS Advises Tax Professionals on Signs of Identity Theft, IR-2022-144

IRS Issues Statement on CP-14 Notices

The IRS was aware that some payments made for 2021 tax returns were incorrectly applied to joint taxpayer accounts. These […]

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IRS Issues Statement on CP-14 Notices

IRS and Treasury Release Initial Information on Electric Vehicle Tax Credit Under Inflation Reduction Act

The Treasury Department and the IRS have published initial information on changes to the tax credit for electric vehicles strengthened […]

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IRS and Treasury Release Initial Information on Electric Vehicle Tax Credit Under Inflation Reduction Act