Tuesday, August 25, 2020

New regulations affect Social Security, Roth conversions, tax code, estate planning and much more

When looking across the planning landscape, it may seem the impact of recent legislation is clear. But as an advisor, you can never relax. New laws can send you scrambling to modify existing financial plans or implement different strategies altogether. Only by understanding this legislation — including what it means for your clients now and in the future — can you develop plans that meet clients' financial goals, while also providing flexibility to adapt to the constantly changing topography.

Publisher: Financial Planning
Date: 2020-08-24T07:41:19.945
Author: https www financial planning com author david haughton
Twitter: @finplan
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Quite a lot has been going on:

Final regs. address new dividends received deduction and reporting rules - Journal of Accountancy

Secs. 245A and 954(c)(6) were added to the Code by the law known as the Tax Cuts and Jobs Act (TCJA), P.L. 115-97, which was enacted on Dec. 22, 2017. Sec. 245A provides a 100% deduction to domestic corporations for certain dividends received from foreign corporations after Dec. 31, 2017. Sec. 954(c)(6) provides that a dividend received by a controlled foreign corporation (CFC), from a related CFC is not included in the recipient CFC's income subject to current tax under Secs.

The temporary regulations in T.D. 9865 and proposed regulations in REG-106282-18 limited the Sec. 245A deduction and the Sec. 954(c)(6) exception with respect to distributions supported by certain earnings and profits (E&P) not subject to the integrated international tax regime created by the TCJA.  

Publisher: Journal of Accountancy
Date: 2020-08-24T15:19:00.000-04:00
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Joe Biden Promises To End Traditional 401(k)-Style Retirement Savings Tax Benefits.

WILMINGTON, DELAWARE - AUGUST 20: Democratic presidential nominee Joe Biden delivers his acceptance ... [+] speech on the fourth night of the Democratic National Convention from the Chase Center on August 20, 2020 in Wilmington, Delaware. The convention, which was once expected to draw 50,000 people to Milwaukee, Wisconsin, is now taking place virtually due to the coronavirus pandemic. (Photo by Win McNamee/Getty Images)

* * *

Let's start with a small point of clarification: strictly speaking, "401(k)" refers to the ability of a worker to defer a part of their pay for retirement savings purposes, and to avoid taxes until the money is ultimately withdrawn. The deferral of employer contributions is not a part of section 401(k) of the relevant IRS tax code. Does Biden want to remove the tax preference for both workers' and employers' contributions to retirement plans, or only the former?

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Publisher: Forbes
Date: 2020-08-25
Author: Elizabeth Bauer
Twitter: @forbes
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Shifting Economic Nexus Laws Complicate Tax Compliance - Law360

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Author: https www law360 com tax authority articles 1303038 shifting economic nexus laws complicate tax compliance
Twitter: @law360
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This may worth something:

Trump delivered on some big 2016 promises | National | carolinacoastonline.com

FILE - In this June 23, 2020, file photo, President Donald Trump tours a section of the border wall in San Luis, Ariz. While Mexico never did pay for the "big, beautiful wall" Trump pledged to build along the southern border — the signature promise of his 2016 campaign — the project is now under way, with 450 miles expected to be completed by the end of December (only a fraction of that, however, has been built along stretches where no barrier stood before.) (AP Photo/Evan Vucci, File)

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Publisher: Carolina Coast Online
Author: JILL COLVIN Associated Press
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INSIGHT: Treatment of Carried Interest—Breaking Down the Long-Awaited Proposed Regulations
Twitter: @tax
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Massachusetts Department of Agricultural Resources Adopts Regulations on Dairy Farmer Tax Credit
Twitter: @tax
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Covanta Holding Corporation Announces Tax Exempt Bond Refinancing

The transaction lowers the weighted average coupon on the bonds by over 145 basis points, and as a result of the removal of our subsidiary guarantee, also reduces the leverage ratio under our senior secured credit facilities on a pro forma basis.

"Covanta remains focused on optimizing its capital structure and this transaction represents another opportunistic action to lower our cost of debt while maintaining an attractive term structure," said Bradford J. Helgeson , Covanta's CFO. "This transaction, when combined with our recently announced taxable bond refinancing, results in annual cash interest savings of over $5 million ."

Date: 9D28F7743C790DD88F2D9C7375EF7ED5
Author: Covanta Holding Corporation
Twitter: @PRNewswire
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