Daily Tax Update - December 8, 2015: Rep. Brady Introduces Two-Year Extenders Bill

Rep. Brady Introduces Two-Year Extenders Bill:  House Ways and Means Committee Chair Kevin Brady introduced legislation that would reinstate a set of incentives that expired at the end of 2014 and extend them through the end of 2016.  It is expected that this two-year extension will only be moved forward if a permanent agreement cannot be reached.  For more details on this legislation, click here.

European Council Issues Directive on Automatic Exchange:  Today, the European Council adopted a directive requiring the automatic exchange of information on tax rulings and advance pricing arrangements (APAs) between member states and to the EU Commission.  The directive is aimed at preventing corporate tax avoidance in coordination with the OECD’s base erosion and profit shifting (BEPS) initiative.  The automatic exchange applies to all tax rulings and APAs that are issued on or after January 1, 2017 and applies with limited scope to tax rulings and APAs issued prior to January 1, 2017.

IRS Announces Payroll Tax Compliance Initiative:  The IRS announced the launch of the Early Interaction Initiative, a new effort designed to more quickly identify employers who are falling behind of their payroll or employment taxes.  The initiative will monitor deposit patterns and identify employers whose payments decline or are late. 

2015 Year-End Estate Planning
As 2015 comes to a close, Steptoe's private client practice would like to take this opportunity to highlight some of the year's important legal developments affecting estate planning, as well as certain year-end planning opportunities that may be of interest.  Our Trusts & Estates Update summarizes some of the relevant legislative developments, proposals, and areas as to which the IRS is expected to give guidance.  Many of the budget proposals discussed in this update were included in past years and were not passed, but it is important to keep in mind that these are areas targeted by the administration.  Click here to read more.