IRS Notice 2018-57 indicates that the IRS will amend final and temporary regulations under Section 987 to push back the effective date by one year. Last year, Notice 2017-38 identified Section 987 on the taxation of foreign currency gain or loss as “significant tax regulations” requiring further review pursuant to Executive Order 13789. Changes being considered would allow taxpayers to elect to apply alternative rules for transitioning to the final regulations and alternative rules for determining gain or loss.
Treasury Inspector General for Tax Administration J. Russell George has released his semiannual report to Congress on IRS oversight. The independent agency completed 22 audits and 1,288 investigations, which resulted in the identification, protection and recovery of around $7.4 billion. TIGTA continues to focus on critical issues such as cybersecurity, system hardware failures, tax-related identity theft and IRS impersonation scams. Read more.