“Transactions of Interest” Regs Finalized


Proposed regulations under section 6011 concerning disclosure of reportable transactions, which include the new category of “transactions of interest,” have been finalized. In general, the final regulations apply to transactions entered into on or after Aug. 3. However, the provision regarding transactions of interest applies to transactions entered into on or after Nov. 2, 2006. The IRS defines a transaction of interest as one it believes has a potential for abuse, but about which it lacks sufficient information to designate it a tax-avoidance tactic. On Aug. 14, in notices 2007-72 and 2007-73, the IRS identified its first two transactions of interest. In one, charitable contributions of real-estate interests are valued significantly beyond the interests’ purchase price and normal appreciation. In the other, grantor trusts cancel out gains and recognize losses as they “toggle” grantor status off and on.

SPONSORED REPORT

Keeping client information safe in an age of scams and security threats

A look at the Dirty Dozen tax scams and ways to protect taxpayer information.

TECHNOLOGY Q&A

How to create maps in Excel 2016

Microsoft Excel 2016 has two new mapping capabilities. J. Carlton Collins, CPA, demonstrates how to make masterful 2D and 3D maps in Excel 2016.

QUIZ

News quiz: IRS enforcement, a hot job, and audit value

The IRS’s 2016 Data Book, a “hot job” of particular interest at this time of year, and insight into how executive and audit committees view the insights from financial statement audits received attention recently. See how much you know with this short quiz.