As business owners and tax professionals await action by Congress to delay or repeal the changes made to IRC § 174 by the Tax Cuts and Jobs Act (TCJA), the Internal Revenue Service (“IRS” or “the Service”) today issued interim guidance regarding the application of the law as it exists today. Notice 2023-63 provides direction on a number of topics that lacked clarity under § 174 and the outdated regulations currently in place.

This week the IRS issued proposed regulations, which provide detailed guidance on Prevailing Wage and Apprenticeship (PWA) requirements pertaining to the energy-related tax credits and deductions that were established or amended in the Inflation Reduction Act of 2022 (IRA).

Recent developments in the House and Senate highlight the ongoing efforts and indicate growing support for the restoration of Research and Development (R&D) tax breaks.

On May 10, 2023, the Tax Court denied a motion for summary judgment from the Internal Revenue Service (IRS) against a construction firm claiming the Research and Development (R&D) tax credit (‘the credit’).

If you haven’t already heard or read, the IRS has recently started publishing its 2023 Dirty Dozen list.  The first item is a warning to watch for companies aggressively marketing the Employee Retention Credit ('ERC' or 'the Credit') by telling organizations they can receive $26,000 of payroll tax credits per employee.