Partnership & LLC taxation

TOPICS

September 1, 2017

IRS reissues centralized partnership audit rules; CPAs urge postponement

A presidential regulatory freeze had delayed the proposed regulations’ publication from early in 2017.

July 1, 2017

Attorneys are not limited partners

PLLC member-managers are held to not be entitled to a self-employment income exclusion of distributive shares.

June 13, 2017

Centralized partnership audit rules are reissued in proposed form

The IRS reissued proposed regulations governing the centralized audit rules, which assess and collect tax at the partnership level.

March 1, 2017

State issues with the new federal partnership audits

The AICPA leads effort to promote state-level uniformity.

January 19, 2017

Centralized partnership audit rules proposed

The IRS released a package of proposed provisions that will apply to the recently enacted centralized audit regime that generally assesses and collects tax at the partnership level.

November 1, 2016

U.S. exporters leaving tax dollars on the table

Forming interest charge domestic international sales corporations can save U.S. exporters a great deal of taxes, but many qualifying taxpayers don’t know about them.

August 4, 2016

IRS issues temporary regulations on early elections of new partnership audit procedures

The IRS issued rules regarding the time, manner, and form for partnerships to make the election to apply the recently enacted unified partnership audit rules for certain years before Jan. 1, 2018.

August 1, 2016

IRS clarifies: Partners cannot be employees

Regulations quash taxpayers’ position that partners can be employees of a disregarded entity owned by the partnership.

January 1, 2016

Congress changes partnership audit and adjustment rules

TEFRA and electing large partnership rules are repealed.

November 1, 2015

Advantages of the Up-C partnership structure

This tax planning tool can significantly increase the ultimate proceeds realized by the legacy partners upon exiting their investment in an operating partnership.

October 30, 2015

Congress makes changes to partnership audit and adjustment rules

The new rules would apply to partnership returns filed for tax years beginning after Dec. 31, 2017.

October 1, 2015

Rules for disguised payments to partners are proposed

Payment for services would be determined by six nonexclusive factors.

October 1, 2015

D.C. Circuit confirms Tax Court’s jurisdiction in son-of-boss case

The court will determine the partners’ accuracy-related penalties in a partnership proceeding.

July 31, 2015

Return due dates changed in highway funding bill

The federal highway funding extension bill passed by Congress contains several tax provisions, including changing the due dates for partnership, S corporation, and corporate tax returns, a provision the AICPA has long advocated.

July 22, 2015

Proposed rules define disguised payments for services in partnerships

The IRS will apply a six-factor test to determine whether payments to partners are disguised payments for services under proposed regulations issued today.

July 1, 2015

Court rejects ‘in-substance’ small-partnership argument

A partnership with a passthrough partner owning a 0.02% partnership interest is ineligible for the small partnership exception under the Tax Equity and Fiscal Responsibility Act of 1982 (TEFRA).

June 11, 2015

IRS: Corporations cannot circumvent gain on appreciated property using partnerships

The IRS issued temporary regulations designed to prevent corporations from avoiding gain on the distribution of appreciated property through the use of partnerships.

April 13, 2015

IRS disagrees with Tax Court on partners’ COD exclusion

The IRS will not acquiesce to Tax Court decisions allowing general partners who guaranteed the debt of their partnership and were not in bankruptcy in their individual capacity to exclude from gross income cancellation-of-debt (COD) income arising from a Title 11 bankruptcy proceeding of the partnership.

December 23, 2014

Transfers of installment obligations would trigger gain or loss under proposed rules

The IRS issued proposed regulations that govern the tax treatment of transfers of installment obligations in exchange for equity interests in corporations or partnerships.