Archive - January 2016
Fee Waiver Hearing Set for February 26th
The IRS just announced in Federal Register Vol. 81, No. 17 that it will hold a hearing on February 26th about the disguised payment for services proposed regulations under Section 707(a)(2)(A) (REG–115452–14). The proposed regulations were issued in July last year and our original coverage can be found here. Arguably, if the proposed regulations are adopted in their current form, they will put a significant dent into the fee waiver strategy prevalent with some private equity funds. The NY Bar and various stakeholders have raised multiple issues with the proposed...
January 27, 2016 read more
In Evans v Comm’r, the Tax Court disallows an ordinary loss from a foreclosure sale
The Tax Court released a few days ago Evans v Comm’r, T.C. Memo. 2016-7. This case offers a continued illustration of the perils of “facts and circumstances” Tax Court litigation. “Facts and circumstances” is a term of art in tax law that pops its head in almost every other page of the Internal Revenue Code. One of the few most topical for the investment industry instances of “facts and circumstances” include the “trader v. investor” issue, the “trade or business” issue, and last but not least the “dealer v....
January 13, 2016 read more