Tax News & Views

April 12, 2024

Bipartisan tax package remains stuck in the Senate
Contrary to the hopes of many in the tax community—and despite extensive lobbying efforts—the recently concluded two-week congressional recess does not appear to have broken the weeks-long stalemate in the Senate over a $78 billion bipartisan package of business- and family-focused tax relief provisions, and with the end of the tax filing season fast approaching, many observers fear that the last best opportunity for passage is slipping away.

Proposed regulations address corporate stock buyback excise tax
Newly released proposed regulations on the Inflation Reduction Act’s 1 percent excise tax on stock repurchases by certain publicly traded corporations provide guidance regarding the application of the tax on repurchases of corporate stock made after December 31, 2022, and outline the reporting and payment of the tax.

Ways and Means Republicans, Democrats divided over TCJA’s future
In a debate that is only expected to grow in intensity as the 2024 congressional and presidential elections draw closer, Republicans on the House Ways and Means Committee argued at a recent committee hearing that the Tax Cuts and Jobs Act of 2017 has been a boon to the US economy and that a host of soon-to-expire provisions in that legislation should be extended for the long term or even made permanent, while the panel’s Democrats contended the TCJA’s benefits are skewed primarily to large corporations and wealthy individuals and that the bulk of its temporary provisions should be allowed to lapse.

Stricter FATCA enforcement, increased IRS resources are key to addressing offshore tax evasion, Whitehouse says
At a recent Senate Budget Committee hearing, Chairman Sheldon Whitehouse identified lax enforcement of the Foreign Account Tax Compliance Act—a 2010 law that generally requires foreign financial institutions to report to the Internal Revenue Service information about accounts held by US persons—as a key contributor to offshore tax evasion among large corporations and wealthy individuals.

Advance Pricing Agreement annual report shows record number of APAs executed in 2023
A new alert from Deloitte Tax LLP provides highlights of a recently released IRS report covering the activities of the Advance Pricing and Mutual Agreement Program during calendar year 2023.

Finance Committee to discuss IRS budget, 2023 tax year filing season at upcoming hearing
The Senate Finance Committee announced that it will hold a hearing on April 16 to discuss the Biden administration’s FY 2025 budget request for the Internal Revenue Service and the 2024 tax filing season with IRS Commissioner Daniel Werfel.