Debt Related Tax Issues
Duffy Case Article: Tax Court decision brining into question IRS views on debts that are nonrecourse only if the lender does not formally foreclose.
IRS AOD on Value of Pension Interest: IRS announces it will contest attempts to use the Tax Court’s Schieber decision to treat value of right to defined benefit pension payments at zero if there is no borrowing option
IRS AAA Tip in S Corporation Instructions: The IRS clarified that expenses paid with PPP loan proceeds don’t reduce AAA and outlines how to report this on Schedule M-2
IRS Guidance on Timing of Forgiveness Income on PPP Loan: IRS provides three options for timing of reporting the forgiveness of a PPP loan
IRS Instructions Update for Attachments to Returns Reporting PPP Forgiveness: Details of required attachments to 2021 returns found in IRS instructions released that provide additional details promised in Revenue Procedure 2021-48.