Daily Tax Update - December 3, 2015: House Passes Highway Bill

House Passes Highway Bill:  Today, the House passed the Fixing America’s Surface Transportation Act (H.R. 22) including two tax debt-related provisions.  The bill would require the IRS to enter into qualified tax collection contracts for the collection of inactive tax receivables and permit the State Department to revoke or deny a passport (or renewal of a passport) to a seriously delinquent taxpayer.  The Joint Committee on Taxation estimated the provisions would generate revenue of $2.4 billion and $395 million over a decade, respectively.

Miscellaneous Guidance: Revenue Procedure 2015-57 provides that certain taxpayers, whose federal student loans are discharged under the Department of Education’s “Defense to Repayment” discharge process, will not be required to recognize gross income as a result of this discharge process.