The IRS has announced the February 27 earthquake in Chile is a qualified disaster for section 139 purposes. Accordingly, employer-sponsored private foundations may provide disaster relief to employee victims of the earthquake and recipients may exclude relief payments from their income.  MORE »

Writing on his own behalf and for Martin Hall of Ropes and Gray, LLP, Boston, attorney Lawrence P. Katzenstein of Thompson Coburn LLP, St. Louis, has asked the service to address the gift tax consequences of Notice 2010-19 on transfers to charitable remainder trusts.  MORE »

The IRS has issued Notice 2010-19 in which it states that transfers made after 2009 to a grantor trust that is not wholly owned by the donor or the donor's spouse is treated as a gift of the entire interest in the property under section 2511(c).  MORE »

Writing on behalf of the American Counsel on Gift Annuities, Conrad Teitell has responded to Notice 2010-19 in which he explains potential unintended and adverse gift tax consequences on transfers to charitable remainder trusts and asks the IRS to immediately issue a corrective notice.  MORE »

The IRS has issued guidance explaining how exempt organizations required to file certain returns electronically may obtain a waiver of those requirements. The Notice also includes guidance on the timely filing of an electronically filed return that is rejected.  MORE »

In Notice 2009-55 the IRS has issued its current list of transactions of interest identified in previous guidance that requires taxpayers entering into such transactions and material advisers who make a tax statement regarding such transactions to disclose them to the IRS. Of interest to charitable gift planners are some sales of charitable remainder trust interests as described in Notice 2008-99.  MORE »

The IRS on Halloween issued Notice 2008-99 in which it announced its interest in a type of transaction involving the sale of interests in a charitable remainder trust that might result in inappropriate tax avoidance by the trust’s grantor. The notice requires any persons entering into and material advisers who make a tax statement regarding such transactions, as well as charitable remaindermen that participate to disclose the transaction to the IRS. In addition, the Service and Treasury are requesting public comments on how the transaction might be addressed in published guidance.

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Treasury has issued Notice 2008-90 in which it announces that the Internal Revenue Service (Service) and the Treasury Department are studying the computation of the deductible amount and adjustment to cost of goods sold for charitable contributions of inventory property that constitute qualified contributions as defined in § 170(e)(3)(A) of the Internal Revenue Code.  MORE »

The IRS has provided interim guidance on the requirement that section 501(c)(3) organizations (charities) make available for public inspection Forms 990-T, Exempt Organization Business Income Tax Return.  MORE »

The IRS has issued interim guidance and requested comments on the treatment under IRC § 67 on investment advisory costs and other costs subject to the 2-percent floor under § 67(a) that are bundled as part of one commission or fee paid to the trustee or executor ("Bundled Fiduciary Fee") and are incurred by a trust other than a grantor trust (e.g., a nongrantor charitable lead trust) or an estate.   MORE »