Overview
IRS and Treasury Issue Final Regulations Regarding Private Activity Bond Restrictions: Today, the IRS and Treasury Department issued final regulations relating to allocation and accounting, and certain remedial actions, for purposes of the private activity bond restrictions under section 141 that apply to tax-exempt bonds issued by state and local governments. The allocation and accounting rules are applied to measure the amount of private business use of the proceeds of a bond issuance, which generally is limited to 10% by the private activity bond restrictions. The final regulations adopt 2002 and 2003 proposed regulations, with certain revisions made in response to comments from the public.
IRS Releases International Boycott Statistics: Today, the IRS released statistics from Tax Year 2013 Form 5713, International Boycott Report, regarding taxpayers who received requests to participate in international boycotts not sanctioned by the United States. Of note, the statistics provided data concerning certain specific “non-listed” countries with respect to which taxpayers have reported receiving an unsanctioned boycott request, including a large number of reported boycott requests from Bangladesh (and an unusually high proportion of such reported requests that resulted in boycott agreements).