Jenny Robertson

The IRS has recently solicited comments on Publication 1075, "Tax Information Security Guidelines for Federal, State, and Local Agencies." Comments are due by April 5, 2010. Publication 1075 relates to Internal Revenue Code section 6103(p), which requi... Read More

The IRS has recently solicited comments on final regulations that require tax practitioners and advisors to provide adequate information to taxpayers regarding the limits of tax shelter advice. Comments are due by April 5, 2010. See also 2010 TNT 24-29... Read More

The IRS has recently solicited comments on Rev. Proc. 2007-52, which provides guidance to nonprofit organizations seeking tax-exempt status under Internal Revenue Code section 501(c). Comments are due by April 5, 2010. See 2010 TNT 24-33, February 4, 2... Read More

The IRS has recently requested comments on Form 8038-TC, "Information Return for Tax Credit Bonds." Comments must be recceived by April 5, 2010. Form 8038-TC is to be used as an informational return by issuers of qualified tax-exempt credit bonds,... Read More

The IRS has recently requested comments on Form 1024, the application for recognition of tax-exempt status under Internal Revenue Code section 501(a). Comments must be received by April 5, 2010. See 2010 TNT 24-65, February 4, 2010. Posted by Jenny... Read More

The IRS has recently requested comments on Form 8038-B, the informational return for Build America Bonds and Recovery Zone Economic Development Bonds. Both bonds were enacted under the American Recovery and Reinvestment Act of 2009. Comments must be re... Read More

In Announcement 2010-5, the IRS corrected an erroneous internal cross-reference contained in Rev. Proc. 2010-1. Rev. Proc. 2010-1 applies to exempt organizations and contains procedures for issuing ruling letters, determination letters, and inform... Read More

In TAM 201005061, the IRS ruled that a trade association organized in the interest of a specific sport and exempt from taxation under Internal Revenue Code section 501(c)(6) would not lose its exempt status due to a public sale of... Read More

In PLR 201005054, the IRS ruled that set-asides for a redeveloptment project made by a private operating foundation exempt from taxation under Internal Revenue Code sections 4942(j)(3) and 4940(d)(1) were qualifying distributions and satisfied the suit... Read More

In PLR 201005060, the IRS revoked the tax-exempt status of a credit counseling organization. The IRS found that the organization was operated for the private benefit of a related organization and that the credit counseling organization had the sub... Read More

Family Business Magazine and Stetson University's Family Enterprise Center are joining together to present a new joint, "Transitions: The Changing Environment for Family Companies," to be held April 15-16 at the Celebration Hotel in Celebration, Florid... Read More

Senate Majority Leader Harry Reid (D-Nev) has introduced his own jobs creation bill, moving forward only some of the provisions provided in the bipartisan job legislation proposed by Senate Finance Committee Chair Max Baucus (D-Mont) and Chuck Grassley... Read More

In a recent report to Congress, the Government Accountability Office (GOA) stated that the IRS needs to improve the implementation and enforcement of the tax provisions contained in the American Reinvestment and Recovery Act of 2009. According to the G... Read More

In a letter to the Chief of IRS Appeals Office Diane Ryan, attorney Marcus Owens of Caplin & Drysdale criticized the Appeals Office for denying a request to seek Technical Advice regarding whether debt management programs conducted by credit counse... Read More

In PLR 201007064, the IRS ruled that a private organization did not engage in self-dealing upon the transfer of assets to a separate private organization. The transfer of assets was due to a settlement agreement reached between certain members and... Read More

In a letter dated February 23, members of Clergy VOICE requested that IRS Commissioner Shulman investigate possible tax abuses by the C Street Center in Washington, DC. The C Street Center is classified as a church for federal tax purposes and... Read More

The IRS recently solicited public comments on Treasury Regulation section 1.457-8, which concerns the eligible deferred compensation plans offered by state and local governments under Internal Revenue Code section 457. Comments are due by April 27, 201... Read More

In a recent letter to IRS Commissioner Douglas Shulman, the American Hospital Association wrote that Schedule H of Form 990, which is used by nonprofit hospitals to report their community benefit activities, does not accurately reflect the activities o... Read More

In a recent report, the Joint Committee on Taxation provided technical explanations of the revenue provisions in the American Workers, State and Business Relief Act of 2010, passed by the Senate on March 10, 2010. Title I contains extenstions of... Read More

In a recent report, the Joint Committee on Taxation released estimated revenue effects of the manager's amendment to the Patient Protection and Affordable Care Act, as passed by the Senate on December 24, 2009. Posted by Jenny Robertson, Associate Edit... Read More

In SEIU v. United States, the Ninth Circuit reversed a district court's reduction of penalties for two tax-exempt labor organizations. The penalties resulted from the organizations' late filing of informational returns. The Ninth Circuit found that the... Read More

In Announcement 2010-19, the IRS provides procedures for certain Type III supporting organizations on how to obtain an Internal Revenue Code section 4940 tax refund and to request a ruling that the organization was and continues to be a Type... Read More

In a comment made March 18, 2010, Senator Chuck Grassley (R-Iowa), the Senate Finance Committee ranking minority member, stated that the Illinois Supreme Court's ruling in Provena Covenant Medical Center v. Illinois Department of Revenue confirms the v... Read More

In PLR 201011001, the IRS ruled that a trust may receive an extension of time to file a charitable deduction election under Internal Revenue Code section 642(c). The trust's tax returns were inadvertently filed late by the trust's accountant, which... Read More

In PLR 201011035, the IRS ruled that certain proposed contractual relationships between a tax-exempt educational organization and charitable remainder trusts. The exempt organization served as the legal owner of the trusts' assets, served as the trusts... Read More

In PLR 201011034, the IRS ruled that judicial reformation of a charitable remainder unitrust did not result in self-dealing under Internal Revenue Code section 4941. The IRS found that there were no disqualified persons, as defined in section 4946(a),&... Read More

The Hill recently reported that an estate tax plan proposed by Senators Jon Kyl (R-Ariz.) and Blanche Lincoln (D-Ark.) is gaining popularity in the House. The plan would create a 35 percent tax on estates worth more than $5 million,... Read More

In Publication 598, Tax on Unrelated Business Income of Exempt Organizations, the IRS explained the rules for the tax on unrelated business income of exempt organizations, including which organizations are subject to the tax, what the requirements are ... Read More

The defendant in United States v. John McCarthy has pled guilty for willfully failing to file a Report of Foreign Bank and Financial Accounts (FBAR) for 2004. The defendant was a former client with USB and held a foreign bank account... Read More

In PLR 201012052, the IRS ruled that an administrative services program established by a tax-exempt healthcare provider for the purpose of providing administrative services to an affiliated for-profit corporation licensed as an insurer was not an unrel... Read More

In a letter to the IRS, Laura Peebles of Deloitte Tax LLP requested further clarity on Internal Revenue Code section 2511(c) as it relates to transfers of interests in charitable remainder trusts (CRTs). Peebles suggested that section 2511(c) should no... Read More

The IRS has solicited comments on Revenue Procedure 98-19, which provides guidance on the reporting and notice requirements for tax-exempt organizations under Internal Revenue Code section 6033. Comments must be received by May 28, 2010.See also 2... Read More

In a recent study published in the New England Journal of Medicine, researchers studied the trajectories of disability in a number of elderly patients and compared those trajectories to the causes of death. The researchers concluded that in most cases,... Read More

In PLR 201013065, the IRS ruled that the transfer of assets by one private foundation to another private foundation classified as a trust would not result in voluntary termination of the transfering foundation, that the trust would not be treated... Read More

In PLR 201013072, the IRS ruled that a private foundation's ownership of stock in a for-profit corporation whose trade or business did not substantially relate to the exempt purpose of the private foundation did not constitute excess business holdings ... Read More

In a recent tax alert, Miller and Chevalier Chartered reports on the codification of the economic substance doctrine as part of the Health Care and Education Reconciliation Act of 2010. The tax alert provides an overview of the doctrine and... Read More

In William R. Klauer v. Commissioner (T.C. Memo. 2010-65), the Tax Court held that the step transaction doctrine did not apply to a transfer of land from an S corporation manufacturing company to a non-profit trust, and therefore the S... Read More

In PLR 201014041, the IRS granted an extension of time to make an election under Internal Revenue Code section 168(h) not to be treated as a tax-exempt controlled entity to the subsidiary of a nonprofit organization. According to the ruling,... Read More

The IRS has released a number of rulings on whether or not scholarship awards made through a private foundation's scholarship program are taxable expenditures. In PLR 201014069, recipients of the scholarship had to establish a substantial connection to... Read More