Memo #
31785

For Your Review: Recommendations for 2019-2020 Treasury/IRS Priority Guidance Plan - DRAFT

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[31785]

May 31, 2019 TO: Tax Committee RE: For Your Review: Recommendations for 2019-2020 Treasury/IRS Priority Guidance Plan - DRAFT

 

Notice 2019-30 invites public comment on recommendations for Treasury’s 2019-2020 Priority Guidance Plan.[1] Many of our recommendations for the 2018-2019 plan, relating to the implementation of the Tax Cut and Jobs Act of 2017 (TCJA), have already been addressed in the form of a notice or proposed regulations.  This letter urges the Treasury Department and IRS to issue or finalize such guidance in a timely manner.

The non-TCJA related requests for guidance in this letter are largely based on prior recommendations but with changes in the order to indicate priority.  The only items removed from last year’s requests for guidance are “Section 851 investments in CFCs and PFICs”[2]  and “Section 965 transition tax on deferred foreign income”[3] because they have been resolved.

The priority requests for guidance included in the main section of the draft letter, include:

  1. Pass-through of Section 199A deduction for RIC shareholders;
  2. Section 451(b);
  3. Section 163(j) interest expense limitation;
  4. UMBS TBA contracts and diversification under Section 817(h);
  5. Check-the-box election;
  6. Taxable mortgage pools;
  7. Qualified interest income;
  8. Foreign tax recoveries from the EU;
  9. Money market fund reform; and
  10. FATCA

Several items that were included as priority items in our prior requests for guidance, but which remain outstanding, have been moved to Enclosure A “Additional Recommendations.”  These items include:

  1. Items Related to 2010 RIC Modernization Act;
  2. FBAR;
  3. Ownership Tracking Requirements;
  4. Electronic Filing; and
  5. Cost Basis Reporting

Please provide any comments on this draft to Katie Sunderland at katie.sunderland@ici.org by close of business Thursday, June 6, 2019.

 

Katie Sunderland
Assistant General Counsel

 

Attachment

endnotes

[1] Notice 2019-30 is available at https://www.irs.gov/pub/irs-drop/n-19-30.pdf.

[2] See Institute Memorandum No. 31668, dated March 18, 2019, which can be found at: https://www.ici.org/my_ici/memorandum/memo31668 and Institute Memorandum No. 31728, dated April 24, 2019, which can be found at: https://www.ici.org/my_ici/memorandum/memo31728.

[3] See Institute Memorandum No. 31380, dated September 10, 2019, which can be found at: https://www.ici.org/my_ici/memorandum/memo31380.