Document summaries for the week of Jan. 7, 2019

ESTATES, TRUSTS & GIFTS

Estate tax lien does not attach to property that was not part of the estate

The Eleventh Circuit held that Florida Stat. Section 95.231 cured the defects in a deed conveying property to a trust, meaning the property was no longer part of the decedent’s estate and therefore could not have an estate-tax lien attached to it. The rule of nullum tempus occurrit regis (Summerlin, 310 U.S. 414 (1940)), which would allow the government to avoid the statute of limitation, was therefore not applicable. Saccullo, No. 17-14546 (11th Cir. 1/11/19).

 

IRS PROCEDURE

IRS issues January 2019 applicable federal rates

The IRS issued a ruling that prescribes the applicable federal rates for January 2019 under Sec. 1274, including the applicable and adjusted federal interest rates, the adjusted federal long-term rate, and the adjusted federal long-term tax-exempt rate. Rev. Rul. 2019-03 (1/7/19).

IRS Free File filing season opens in advance of filing season

The IRS announced the start of its Free File filing season for taxpayers who earned less than $66,000 in 2018. IR-2019-02 (1/11/19) (see related news story).

IRS announces start of tax season

The IRS announced that the 2019 filing season will start on Jan. 28. It also announced that it will be issuing refunds to taxpayers despite the government shutdown. IR-2019-01 (1/7/19) (see related news story).

IVES and certain fee-based programs reopen

The IRS announced that it began processing requests for transcript information made through its Income Verification Express Service (IVES) program despite the government shutdown. The IRS also announced the start of other user fee-based services such as providing a letter needed by some taxpayers to certify their residency in the United States for certain tax treaty benefits and responding to requests for photocopies of tax returns. IRS Statement (1/9/19).

Tax Court releases no opinions

The U.S. Tax Court remains closed due to the partial government shutdown and did not release any opinions for the week of Jan. 7, 2019.

IRS issues no determination letters

The IRS issued no private letter rulings, technical advice memoranda, or Chief Counsel advice for the week of Jan. 7, 2019.

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DEDUCTIONS

Business meal deductions after the TCJA

This article discusses the history of the deduction of business meal expenses and the new rules under the TCJA and the regulations and provides a framework for documenting and substantiating the deduction.

TAX RELIEF

Quirks spurred by COVID-19 tax relief

This article discusses some procedural and administrative quirks that have emerged with the new tax legislative, regulatory, and procedural guidance related to COVID-19.