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Key Takeaways
- The Government is Funded
- Guidance?
- Partnership Reform
- Campaign News
- Pancakes all day
The Government is Funded
Morning Report — Government funding is a December problem now - Alexis Simendinger and Kristina Karisch, The Hill:
Congress on Wednesday passed a three-month stopgap spending bill that will fund the government through Dec. 20, sending the legislation to President Biden’s desk for his signature ahead of the Sept. 30 shutdown deadline. The House cleared the legislation in a 341-82 vote, including support from 209 Democrats and 132 Republicans. All 82 “no” votes came from Republicans. In the Senate, the bill passed 78-18.
Congress Passes Bill Punting Appropriations Deadline to December - Doug Sword and Cady Stanton, Tax Notes($):
Now awaiting President Biden’s signature, the continuing resolution Congress passed September 25 would extend government funding at fiscal 2024 levels into the 2025 fiscal year, which begins October 1. For the IRS, that means its $12.3 billion budget for fiscal 2024 is extended through December 20, the new funding deadline set by the resolution.
Guidance?
Expect More R&D Guidance Before Regs, IRS Atty Says - Kat Lucero, Law360 Tax Authority($):
Practitioners and taxpayers should see more guidance for the treatment of specified research and experimental expenditures under Internal Revenue Code Section 174 on top of the prior set of guidance released in the past year, according to Scott Vance, an IRS associate chief counsel, income tax and accounting.
IRS Eyeing Winter Release of Research Amortization Proposed Regs - Nathan J. Richman, Tax Notes($):
“I think it’s going to be a matter of months, and not a lot of months. I would love, personally, to see this out over the wintertime,” Scott Vance, IRS associate chief counsel (income tax and accounting), said September 25 at the American Bar Association Virtual Fall Tax Meeting.
Groups Seek Delayed Start to Required Minimum Distribution Regs - Caitlin Mullaney, Tax Notes($). "Benefits community professionals are asking the IRS to delay the start date of proposed required minimum distribution (RMD) rules as it works to finalize the regulations."
CAMT and Transfer Pricing on Collision Course, or Are They? - Alexander F. Peter, Tax Notes($). "After proposed regulations implementing the corporate alternative minimum tax (CAMT) suddenly contained references to transfer pricing, Treasury will have to correct “a typo” in the regulations at the complex intersection of both worlds, an IRS official said."
Partnership Reform
Basis-Shifting Regs May Add Accounting Fixes, IRS Atty Says - Kat Lucero, Law360 Tax Authority($):
While the IRS did not address such adjustments in a June regulatory package targeting basis-shifting in partnership transactions, the agency hopes to tackle the accounting issue in forthcoming regulations, according to Anthony Sacco, an attorney in the IRS Office of Chief Counsel, Passthroughs and Special Industries.
Wyden Calls On 2025 Tax Bill To Include Partnership Reform - Law360 Tax Authority($):
Wyden, D-Ore., said Congress shouldn't pass on the opportunity to revise partnership tax laws during an inevitable legislative exercise next year to address a majority of the 2017 Tax Cuts and Jobs Act provisions that are either expiring or becoming harsher. Wyden spoke during a partnership tax law event hosted by the Hamilton Project, a joint research initiative by the Brookings Institution and the Tax Law Center at New York University School of Law.
Partnership Reform Crucial in Tax Debate, Says Wyden - Kristen A. Parillo, Tax Notes($):
Democrats “have made it clear that we’re going to focus on trying to clean up the mess in the tax code in the most serious areas, and large partnerships strike me as one of those,” Wyden said at a September 25 online event cosponsored by the Brookings Institution’s Hamilton Project and the Tax Law Center at New York University School of Law.
Campaign News
Democrats Prep Bill Language of Harris Tax Priorities for 2025 - Cady Stanton and Doug Sword, Tax Notes($):
House Ways and Means Tax Subcommittee ranking member Mike Thompson, D-Calif., confirmed that Democrats are actively working on a day 1 package of tax proposals for 2025, including ideas broader than the provisions scheduled to expire from the Tax Cuts and Jobs Act.
Harris Proposes Tax Credits For Domestic Manufacturing - Asha Glover, Law360 Tax Authority($):
A Harris administration would create America Forward tax credits that would, in part, be aimed at modernizing and reducing emissions in steel and iron production, developing biotechnology to produce medicine and sustainable materials, and investing in artificial intelligence innovation, according to a fact sheet released by her campaign. The credits would be linked to the treatment of workers and reward companies that work with unions, the Harris campaign said.
Harris Proposes New Manufacturing Tax Credit - Alexander Rifaat, Tax Notes($). "Democratic presidential nominee Kamala Harris has unveiled her economic agenda, which includes a tax credit to promote unionized manufacturing jobs."
Popular home-related tax benefits already in the tax code - Kay Bell, Don't Mess with Taxes:
Vice President Kamala Harris, the Democratic presidential nominee, has proposed tax breaks she says will increase the housing supply, which should lead to lower prices. She’s also promoting a first-time buyer tax to help buyers get into those homes.
What Day is it?
It is National Pancake Day, which leads to a long list of questions, plain or with add-ins, a side of bacon or sausage, breakfast only or brinner, flavored syrup?