August 16th - IRS News


TOMORROW’S DEADLINES (WEDNESDAY 17TH)

Deposit payroll tax for payments on Aug 10-12 if the semiweekly deposit rule applies.


TODAY’S NEW NOTICES, FORMS, AND PUBLICATIONS

IRS announces interest rate increases for the fourth quarter of 2022; 6% rate applies to most taxpayers starting Oct. 1

The Internal Revenue Service today announced that interest rates will increase for the calendar quarter beginning Oct. 1, 2022. For individuals, the rate for overpayments and underpayments will be 6% per year, compounded daily, up from 5% for the quarter that began on July 1. 

Here is a complete list of the new rates:

  • 6% for overpayments [5% for corporations]. (payments made in excess of the amount owed.

  • 3.5% for the portion of a corporate overpayment exceeding $10,000.

  • 6% for underpayments. (taxes owed but not fully paid)

  • 8% for large corporate underpayments.

Under the Internal Revenue Code, the rate of interest is determined on a quarterly basis. For taxpayers other than corporations, the overpayment and underpayment rate is the federal short-term rate plus 3 percentage points.

Generally, for a corporation, the underpayment rate is the federal short-term rate plus 3 percentage points, and the overpayment rate is the federal short-term rate plus 2 percentage points. The rate for large corporate underpayments is the federal short-term rate plus 5 percentage points. The rate on the portion of a corporate overpayment of tax exceeding $10,000 for a taxable period is the federal short-term rate plus one-half (0.5) of a percentage point. The interest rates announced today are computed from the federal short-term rate determined during July 2022. See Revenue Ruling 2022-15, https://www.irs.gov/pub/irs-drop/rr-22-15.pdf, announcing the rates of interest.

Notice 2022-34

This notice announces that the Department of the Treasury and the Internal Revenue Service intend to amend the regulations under section 987 to defer the applicability date of the final regulations under section 987, as well as certain related final regulations, by one additional year.  The applicability date of these regulations has been deferred under prior notices to taxable years beginning after December 7, 2022.  The Treasury Department and the IRS intend to amend §§1.861-9T, 1.985-5, 1.987-11, 1.988-1, 1.988-4, and 1.989(a)-1 of the 2016 final regulations and §§1.987-2 and 1.987-4 of the 2019 final regulations (the related 2019 final regulations) to provide that the 2016 final regulations and the related 2019 final regulations apply to taxable years beginning after December 7, 2023.  The Notice also states that taxpayers may rely on certain related proposed regulations that cross-reference temporary regulations which have expired. Notice 2022-34 will be published in Internal Revenue Bulletin 2022-34 on Aug. 22, 2022.

Form 15373.

This form provides information on VITA/TCE Free Tax Preparation Using Over the Phone Interpreter Services 

Publication 5682. Records Control Schedules.

This publication provides the records control schedules that are currently maintained by the Commissioner, Deputy Commissioner, as well as Assistant Deputy Commissioner, Senior Advisors to the Commissioner, Assistants to the Commissioner, Directors, Office of Public Liaison, Small Business Affairs Office, Office of Program Evaluation and Risk Analysis, Whistleblower Office, Governmental Liaison and Disclosure, and Office of Privacy, Information Protection & Data Security.

Publication 5681. General Records Schedules.

This document contains the entire GRS as it stood as of the publication of GRS Transmittal 32 in March 2022.

Publication 938. Real Estate Mortgage Investment Conduits (REMICs) Reporting Information (And Other Collateralized Debt Obligations (CDOs)).

This publication contains directories relating to real estate mortgage investment conduits (REMICs) and collateralized debt obligations (CDOs). The directory for each calendar quarter is based on information submitted to the IRS during that quarter.

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