IRS

On February 16, 2016, TEI submitted comments to the Internal Revenue Service offering a definition of "minor assembly" for purposes of the domestic production activities deduction ("DPAD") of 26 U.S.C. § 199. We submitted these comments pursuant to the REG-136459-09 notice of proposed rulemaking, which proposed various changes in the regulations surrounding the DPAD. These comments also offered an alternative new Example 9 from what was suggested in REG-136459-09, an example generally regarding as attempting to overturn by regulation the holding in United States v. Dean, 945 F. Supp.

On August 3, 2015, TEI submitted comments to the IRS on proposed regulations (REG-132634-14) relating to qualifying income from activities of publicly traded partnerships with respect to minerals or natural resources. The Institute’s comments focused on how the proposed regulations fail to capture the complex processes and activities carried on by publicly traded partnerships and, as a result, propose rules that are inconsistent with section 7704(d)(1)(E) and its legislative history as previously interpreted and applied by the IRS in 27 years of ruling practice.

On February 26-27, 2015, a delegation from Tax Executives Institute met with the Commissioner of Internal Revenue, John Koskinen, and senior officials of the Internal Revenue Service and with the Treasury Department’s Assistant Secretary for Tax Policy, Mark Mazur, and senior officials of Treasury’s Office of Tax Policy. Summaries of the meetings are provided below.

On June 4-5, 2014, a delegation from Tax Executives Institute met with the Commissioner of Internal Revenue, John Koskinen, and senior officials of the Internal Revenue Service and with the Treasury Department’s Assistant Secretary for Tax Policy, Mark Mazur, and senior officials of Treasury’s Office of Tax Policy. The agendas and minutes from the meetings are provided below.

On March 18, 2014, TEI urged the IRS to withdraw proposed regulations creating an "exception" to the single taxpayer rule under section 41(f)(1) excluding gross receipts received from a controlled foreign corporation for purposes of calculating the traditional incremental research credit.

TEI's comments were prepared under the aegis of its Federal Tax Committee, whose chair is Gary P. Hickman of Oldcastle, Inc. Jeffery P. Rasmussen of the Institute's legal staff coordinated the development of the comments.

On March 10, 2014, TEI submitted comments to the IRS regarding Notice 2013-78, which proposes substantial revisions to Revenue Procedure 2006-54 for requesting assistance from the U.S. competent authority under U.S. tax treaties. TEI’s comments focused on, among other things, the ability of the U.S. competent authority to expand the scope of mutual agreement procedure requests, the interaction between the U.S. competent authority and IRS exam and appeals, and the impact of the proposed revenue procedure on the compulsory payment rule for claiming a foreign tax credit.

On March 10, 2014, TEI submitted comments to the IRS regarding Notice 2013-79, which proposes substantial revisions to Revenue Procedure 2006-9 for requesting advanced pricing agreements (APA) from the IRS. TEI’s comments focused on, among other things, the volume of information required to be submitted to the IRS under the proposed procedure, the pre-filing process, and Institute concerns with the authority of the IRS’s advanced pricing and mutual agreement program to expand the scope of an APA request.

On November 13, 2013, Tax Executives Institute filed comments with the IRS and Treasury Department urging a number of changes to the proposed regulations under sections 6055 and 6056. The proposed rules implement the employer and insurer information reporting requirements under the Affordable Care Act and are critical in the administration of the individual and company shared responsibility payments.