Overview
IRS Reminds Taxpayer to Check Withholdings to Avoid Underpayment Penalties: In a news release issued today, the IRS urged taxpayers to check their withholdings and make estimated payments in order to avoid penalties for the underpayment of taxes. The notice reminded taxpayers to perform a “paycheck checkup” using the IRS’s online withholdings calculator and to make additional tax payments if necessary.
OECD Releases Working Paper on Simplified Registration and Collection Mechanisms: Today, the OECD released a working paper that evaluates the efficacy of simplified tax registration and collection mechanisms that encourage taxpayer compliance when the taxing jurisdiction has limited or no authority to effectively enforce a tax collection or other compliance obligation. The paper concludes that such regimes represent an effective approach to securing taxpayer compliance.
Miscellaneous Guidance for Regulated Investment Companies:
Today, the IRS issued Rev. Proc. 2018-47, which provides guidance under IRC § 4982 for regulated investment companies on the treatment of amounts that IRC § 965 requires to be included in gross income under § 951(a)(1) for the excise tax year ended on December 31, 2017.