IRS

Enrolled Agent Exam User Fee Reduced from $99 to $66

The Treasury Department and IRS have issued a notice of proposed rulemaking to reduce the user fee for each part of the Special Enrollment Examination for Enrolled Agents (EA SEE) from $99 per part to $66 per part. The proposed amendments would modify 26 CFR Part 300. Comments and requests for a public hearing must be received by May 20, 2026.

IRS Proposes Wagering Loss Deduction Limit to 90%, Raises Reporting Threshold to $2,000

The IRS has published a notice of proposed rulemaking to amend regulations under sections 165, 6041, 6041A, and 3406 of the Internal Revenue Code. The amendments reflect changes enacted by the One, Big, Beautiful Bill Act (Public Law 119-21). Key changes include limiting the wagering loss deduction to 90 percent of wagering losses (down from the prior 100-percent-of-gains limitation) and raising the information reporting threshold from $600 to $2,000 for payments made after December 31, 2025. Comments are due by June 16, 2026.

EA SEE User Fee Reduced From $99 to $66 Per Part

The IRS has issued an interim final rule reducing the user fee for each part of the Enrolled Agent Special Enrollment Examination (EA SEE) from $99 to $66 per part, effective April 20, 2026. This fee reduction follows a 2025 biennial review under OMB Circular A-25, which determined the full cost of IRS oversight is now $66 per part, down from the prior $99 rate established in 2022. The change is primarily attributable to a revised timekeeping methodology and increased exam-taker volume distributing fixed administrative costs.

IRS Advisory Council Public Meeting Notice

The Internal Revenue Service Advisory Council (IRSAC) has scheduled a public meeting for Wednesday, May 6, 2026, at 11:00 a.m. Eastern. The virtual meeting via Microsoft Teams will cover topics including enhancements to IRS operations, administrative and policy changes to improve taxpayer experience, information reporting issues, and matters concerning tax-exempt and government entities. Members of the public wishing to attend must register by May 4, 2026.

IRS Updates FAQs on Section 127 Educational Assistance Programs

The IRS updated its frequently asked questions about educational assistance programs under Section 127 of the Internal Revenue Code (Fact Sheet 2026-10), revising information about how the rules apply to qualified education loans and the One, Big, Beautiful Bill amendments. The FAQs confirm that up to $5,250 in educational assistance benefits remains excluded from gross income for calendar years 2025 and 2026. Employers should not include these benefits in Box 1 (wages, tips, and other compensation) of employees' Form W-2.

IRS Exempt Organization Form 990 Filing Exemption Determination 202616006

The IRS issued a written determination granting an organization an exemption from the annual Form 990 filing requirement. Based on Rev. Proc. 95-48, the IRS determined the organization qualifies as a governmental unit or affiliate under IRC Section 6033(a)(3)(B) and is therefore not required to file Form 990. The IRS will update its records to reflect this exemption status.

IRS Grants Extension of Time to Make Qualified Opportunity Fund Regulatory Election

The IRS granted a limited liability company relief under Treas. Reg. § 301.9100-3 from the deadline for making a Qualified Opportunity Fund (QOF) regulatory election. The taxpayer failed to timely file Form 8996 for self-certification as a QOF for the taxable year ending December 31, Year 1, due to reliance on an accountant who was unaware of the filing requirement. The IRS concluded the taxpayer acted reasonably and in good faith, and granting relief will not prejudice the government's interests.

Extension of Time for Section 336(e) Election, S Corporation Stock Disposition

The IRS granted an extension of time under Section 301.9100-3 to an S Corporation and related parties to make a Section 336(e) election following a failed timely election. The extension allows 75 days from the letter date to file the Section 336(e) Agreement and Election Statement, and 150 days to file or amend returns to reflect the election. The relief is conditioned on aggregate tax liabilities not being lower than if the election had been timely filed.

IRC 4945(g)(1) Scholarship Program Advance Approval

The IRS issued an advance approval determination (Release No. 202616007) for a private foundation's scholarship program under IRC Section 4945(g)(1). The IRS approved the foundation's procedures for awarding scholarships as meeting statutory requirements, making expenditures under these procedures non-taxable. Awards meeting the specified criteria qualify as scholarship or fellowship grants under IRC Section 117(a) and are not taxable to recipients for qualified tuition and related expenses.

Written Determinations Index Week of April 17, 2026

The IRS released Publication 1078, the weekly cumulated index of written determinations for April 17, 2026. The index catalogs letter rulings, technical advice memoranda, and Chief Counsel advice organized by Internal Revenue Code section. The document includes hundreds of determination reference numbers spanning numerous IRC sections including Sections 1, 23, 25, 25A, 32, 38, 41, 42, 45, 47, 48, 50, 53, 56, 57, 59, 59A, 61, and others. The index explicitly notes that pursuant to IRC Section 6110(k)(3), these determinations may not be used or cited as precedent.

Written Determination 202616004 - Section 355 Spin-Off Tax Ruling

The IRS issued a private letter ruling addressing federal income tax consequences of proposed corporate spin-off transactions under Sections 355 and 368 of the Internal Revenue Code. The ruling was requested on behalf of Distributing and its shareholders concerning the Proposed Transactions. The IRS Office expressed no opinion on overall tax consequences, only on issues specifically addressed in the rulings.

IRS Grants 120-Day Extension for Portability Election Under Section 301.9100-3

The IRS granted an estate an extension of 120 days from January 14, 2026 to make a portability election under Section 301.9100-3. The ruling allows the executor to file Form 706 and claim the deceased spouse's unused exclusion amount (DSUE) for the surviving spouse's benefit. The IRS determined the estate satisfied the requirements of Sections 301.9100-1 and 301.9100-3 based on information submitted, though the extension becomes void if the estate is later found required to file under Section 6018(a).

Private Foundation Scholarship Program Advance Approval Under IRC Section 4945(g)(1)

The IRS issued a written determination approving a private foundation's scholarship procedures under IRC Section 4945(g)(1) and educational grant procedures under IRC Section 4945(g)(3). Based on the information submitted, the IRS determined that expenditures made according to these approved procedures will not constitute taxable expenditures under IRC Section 4945. The determination covers multiple scholarship programs for descendants of original shareholders and technical skill training recipients, as well as cultural grants for artistic and heritage preservation projects.

Extension of Time for Entity Classification Elections under Section 301.9100-3

The IRS granted X and Y LLCs an extension of 120 days from the date of this letter to file Forms 8832, Entity Classification Election, to be classified as associations taxable as corporations for federal tax purposes. The IRS concluded that the requirements of Section 301.9100-3 have been satisfied, including that the taxpayers acted reasonably and in good faith and that granting relief will not prejudice the interests of the government. This relief is contingent on the taxpayers filing all required returns or amended returns consistent with the extension within the 120-day period.

Proposed Amendments to Information Reporting Thresholds and Wagering Loss Deduction (REG-113229-25)

The IRS proposes amendments to 26 CFR Parts 1 and 31 under sections 165, 6041, 6041A, and 3406 of the Internal Revenue Code to reflect changes enacted in the One, Big, Beautiful Bill Act of July 4, 2025. The proposed rule would increase the information reporting threshold from $600 to $2,000 for payments made after December 31, 2025, and index the threshold to inflation for calendar years after 2026. The proposed rule would also limit the deduction for wagering losses to 90 percent of losses during a taxable year.

Enrolled Agent Special Enrollment Examination User Fee Reduced to $66

The IRS proposes reducing the user fee for each part of the Enrolled Agent Special Enrollment Examination (EA SEE) from $99 to $66 per part. The fee reduction is part of interim final regulations being issued simultaneously in the Federal Register. Public comments are being accepted until May 20, 2026, with a public hearing to be scheduled if requested.

Enrolled Agent Special Enrollment Examination User Fee Reduced to $66

The IRS issued an interim final rule reducing the user fee for the Enrolled Agent Special Enrollment Examination (EA SEE) from $99 to $66 per part, effective April 20, 2026. The reduction follows a 2025 biennial review under OMB Circular A-25, which determined the full cost of overseeing the exam is now $66 per part due to changes in timekeeping methodology. Individuals seeking enrolled agent status must pay this fee in addition to contractor fees of $251 per part.

Art Advisory Panel Reestablished for Two Years

The Internal Revenue Service has reestablished the Art Advisory Panel of the Commissioner of Internal Revenue for a two-year period beginning no sooner than seven days following publication of this notice. The Panel assists the IRS in reviewing and evaluating the acceptability of property appraisals submitted by taxpayers in support of fair market value claimed on works of art involved in Federal Income, Estate, or Gift taxes under IRC sections 170, 2031, and 2512. All Panel meetings will be closed to the public to protect the confidentiality of tax return information.

Tax Bulletin 2026-17: Farmer Penalty Waiver, Housing Expense Limits

The IRS Internal Revenue Bulletin 2026-17 publishes Notice 2026-24, which provides a waiver of the section 6654 addition to tax for underpayment of estimated income tax by qualifying farmers and fishermen who file their 2025 calendar-year federal income tax return and pay any tax due by April 15, 2026. The bulletin also publishes Notice 2026-25, which adjusts the limitation on housing expenses for purposes of section 911 (foreign earned income exclusion) for the 2026 tax year based on geographic differences in housing costs.

Rev. Rul. 2026-9: May 2026 AFR Tables and Tax Rate Prescriptions

The IRS released Rev. Rul. 2026-9 providing prescribed federal tax rates for May 2026. The ruling includes short-term AFR at 3.82%, mid-term AFR at 4.08%, and long-term AFR at 4.83% (annual compounding). Tables cover adjusted AFR, Section 382 ownership change rates (3.65%), low-income housing credit percentages (8.04% for 70% present value credit, 3.44% for 30% present value credit), and Section 7520 annuity valuation rate (5.00%). These rates apply to various tax computations including original issue discount, present value determinations, and tax-exempt entity ownership changes.

Proposed Excise Tax on Remittance Transfers Under Section 4475

IRS proposes regulations implementing a 1% excise tax on remittance transfers under section 4475 of the Internal Revenue Code, enacted by the One, Big, Beautiful Bill Act. The tax applies to transfers where the sender provides cash, money order, cashier's check, or similar physical instrument, effective for transfers after December 31, 2025. Remittance transfer providers would collect the tax from senders and remit it quarterly to the IRS.

IRS Cancels PTIN Fee Reduction Hearing, No Testimonies Received

The IRS has cancelled a public hearing scheduled for April 24, 2026 regarding proposed amendments to reduce PTIN user fees from $11 to $10. The hearing was cancelled after no requests to testify or topic outlines were received by the April 2, 2026 deadline. The underlying proposed rulemaking (REG-108673-25) remains open for public comment via regulations.gov.

IRS Final Rule Defines Qualified Tips for Section 224 Tax Deduction

The IRS has issued final regulations under Section 224 of the Internal Revenue Code defining 'qualified tips' for income tax deduction purposes. The regulations identify occupations that customarily and regularly received tips on or before December 31, 2024, and establish documentation requirements for the deduction. The rule affects individuals who receive tips as part of their employment in qualifying occupations.

Foreign Insurance Companies Asset Percentages, Yields 2026

IRS Rev. Proc. 2026-19 provides updated domestic asset/liability percentages and domestic investment yields for foreign insurance companies computing minimum effectively connected net investment income under section 842(b) of the Internal Revenue Code. For the first taxable year beginning after December 31, 2024, foreign life insurance companies use 128.2% and 2.1% yield; foreign property and liability insurance companies use 202.4% and 2.2% yield. Percentages are based on 2023 tax return data.

IRS Proposed Rule on Excise Tax Remittance Transfers - Comment Deadline June 12

The IRS has published a proposed rule on excise tax remittance transfers for public comment. The comment deadline is June 12. Taxpayers affected by excise tax remittance requirements should review the proposal and submit comments by the deadline.

Proposed Excise Tax Regulations Under IRC Section 4475 for Remittance Transfers

The IRS proposes regulations under Internal Revenue Code section 4475 to implement a 1 percent excise tax on certain remittance transfers occurring after December 31, 2025. The proposed rules would revise 26 CFR part 40 (Excise Tax Procedural Regulations) and add provisions to 26 CFR part 49 (Facilities and Services Excise Tax Regulations), providing definitions, collection procedures, and rules for determining qualifying payment instruments.

Definition of Qualified Tips for Income Tax Deduction Under Section 224

The IRS has issued final regulations implementing Section 224 of the Internal Revenue Code (added by the One, Big, Beautiful Bill Act of July 4, 2025) to define "qualified tips" for an income tax deduction. The rule identifies occupations that customarily and regularly received tips on or before December 31, 2024, and establishes requirements for the deduction. These regulations affect individuals who receive tips as part of their occupation and are effective June 12, 2026.

April 2026 Weighted Average Interest Rates, Yield Curves, and Segment Rates

The IRS published Notice 2026-26 providing the April 2026 segment rates used for single-employer and multiemployer pension plan funding calculations under IRC Sections 430 and 431. The document includes the March 2026 spot segment rates (first: 4.24%, second: 5.35%, third: 6.25%), the 24-month average segment rates for April 2026 (adjusted: first 4.75%, second 5.25-5.27%, third 5.84%), and the corporate bond yield curve for March 2026.

Foreign Insurance Companies Asset Percentages, Investment Yields 2026

Rev. Proc. 2026-19 provides updated domestic asset/liability percentages and domestic investment yields for foreign insurance companies to compute minimum effectively connected net investment income under IRC § 842(b) for taxable years beginning after December 31, 2024. Foreign life insurance companies use 128.2% and 2.1%; foreign property and liability insurance companies use 202.4% and 2.2%.

Proposed Regulations on New 1% Remittance Transfer Tax Under One, Big, Beautiful Bill

The Department of the Treasury and IRS have issued proposed regulations clarifying the application of the new 1% excise tax on remittance transfers under the One, Big, Beautiful Bill. The tax, effective January 1, 2026, applies to cash, money orders, cashier's checks, and similar physical instruments sent from the US to foreign recipients. Remittance transfer providers are required to collect the tax from senders, make semimonthly deposits, and file quarterly returns on Form 720.

Final Regulations List 70+ Occupations for Tip Deduction Under No Tax on Tips Provision

The Department of the Treasury and IRS issued final regulations implementing the 'No Tax on Tips' provision from the One, Big, Beautiful Bill. The regulations provide a list of more than 70 occupations where workers customarily receive tips and define 'qualified tips' that eligible taxpayers may claim as a deduction. The final regulations expand the occupation list to include visual artists, floral designers, and gas pump attendants.

Revenue Ruling 2026-8: SIFL Aircraft Valuation Formula; Announcement 2026-8: APMA Program Report

The IRS published Rev. Rul. 2026-8 setting forth the Standard Industry Fare Level (SIFL) cents-per-mile rates and terminal charge for the first half of 2026 for valuing non-commercial flights on employer-provided aircraft under 26 CFR 1.61-21(g). The IRS also published Announcement 2026-8, its twenty-seventh annual report on the Advance Pricing and Mutual Agreement (APMA) Program covering calendar year 2025 activities.

Form 8609 Instructions Updated for Tax-Exempt Bond Projects

The IRS has issued updated instructions for Form 8609 (Low-Income Housing Credit) reflecting changes made by the One Big Beautiful Bill Act for tax-exempt bond financed projects after 2025. The updates modify the thresholds for when no housing credit allocation is required when buildings are financed with tax-exempt bonds subject to volume cap under section 146. Specifically, a 50% aggregate basis threshold remains, while a new 25% threshold is added for bonds issued after 2025 meeting additional conditions (at least 5% of aggregate basis financed, building placed in service after 2025). For projects meeting these criteria, filers must leave Line 1a blank on Form 8609.

Occupations That Customarily and Regularly Received Tips; Definition of Qualified Tips (T.D. 10044)

The IRS published final regulations (T.D. 10044) under 26 CFR Part 1 defining "qualified tips" for purposes of the FICA tip tax. The regulations establish which occupations customarily and regularly receive tips and the requirements for tips to qualify under the Internal Revenue Code. These rules affect employers in tip-receiving industries who must withhold and pay FICA taxes on qualified tip income.

Excise Tax on Remittance Transfers

The IRS and Treasury Department have published a proposed rule (REG-114499-25) to implement an excise tax on remittance transfers under 26 CFR 40 and 26 CFR 49. The rule defines remittance transfers, establishes tax rates, and outlines reporting requirements for providers of remittance transfer services. Comments are being accepted through June 12, 2026.

Form 8886 mailing address updated to Ogden UT

The IRS updated the mailing address in the Instructions for Form 8886 (Reportable Transaction Disclosure Statement). The address on page 3 under 'When and How To File' is now Internal Revenue Service, 1973 Rulon White Blvd., OTSA Mail Stop 4915, Ogden, UT 84201. This change affects taxpayers filing paper Form 8886 disclosures who must use the new Ogden address for submissions.

How to Report Other Expenses on the Updated Form 8825

The IRS has updated Form 8825 reporting procedures for partnerships and S corporations. For years prior to 2025, deductions not listed on lines 3 through 14 were reported on line 15. The updated form introduces new line numbers and requires affected entities to adjust their reporting accordingly. Partnerships and S corporations not required to file Schedule M-3 should now use line 17 as they previously used line 15. Those required to file Schedule M-3 must attach Schedule(s) A (Form 8825) and report the total on line 17, with any other expenses reported on line 30 of Schedule A.

Long-Term Care Premiums Paid Statement - Information Collection Comment Request

The IRS published a notice seeking public comments on a new information collection request for Form 1099-LPS (Long-Term Care Premiums Paid Statement). The form will be used by issuers of certified long-term care insurance policies to report contract information under IRC sections 401(a)(39)(E) and 6050Z. The notice requests comments on burden estimates, utility, and ways to minimize paperwork burden. Comments are due by June 8, 2026.

Housing Cost Amount Limitations for Foreign Earned Income Exclusion 2026

The IRS issued Notice 2026-25 providing adjusted limitations on housing expenses for qualified individuals claiming the foreign earned income exclusion under IRC Section 911 for tax year 2026. The notice updates location-specific housing cost limitations for expatriates, replacing the general $39,870 limitation with city-by-city amounts based on relative housing costs. For example, limitations range from $40,600 (Estonia Tallinn) to $114,300 (Australia Sydney) depending on location. The base housing amount for 2026 is $21,264.

Revenue Procedure 2026-14 - Qualified Opportunity Zone Nominations Procedure

The IRS issued Revenue Procedure 2026-14 to provide guidance to State CEOs on the procedural requirements for nominating population census tracts as Qualified Opportunity Zones (QOZs) for designation effective January 1, 2027. The guidance implements amendments made by Section 70421 of the One, Big, Beautiful Bill Act (OBBBA) to IRC Sections 1400Z-1 and 1400Z-2. Nominating authorities must follow the prescribed process to designate low-income community census tracts as QOZs.

QOZ Census Tract Nomination Procedures Under One, Big, Beautiful Bill

The IRS and Treasury Department issued Revenue Procedure 2026-14 establishing the nomination process for Qualified Opportunity Zones under the One, Big, Beautiful Bill, which permanently extends the QOZ tax incentive. The guidance identifies 25,332 eligible low-income census tracts, of which 8,334 are entirely rural areas. State CEOs may begin nominating tracts on July 1, 2026, with designations effective January 1, 2027.

Business Tax Account Expansion to Partnerships and Governments

The Internal Revenue Service announced the expansion of its Business Tax Account online platform to include partnerships, federal/state/local governments, Indian tribal governments, and tax-exempt organizations. These entities join sole proprietors, S corporations, and C corporations that previously had access. The BTA platform provides secure access to view tax balances, make payments, download notices, view transcripts, and request compliance checks.

Carrier Summary Report, Terminal Operator Report, and ExSTARS Extension Comment Request

The IRS published a notice requesting public comments on three information collection activities: the Carrier Summary Report, the Terminal Operator Report, and a request for extension of time to file an Excise Summary Terminal Activity Reporting System (ExSTARS) Information Return. The notice opens a 62-day public comment period closing June 8, 2026. This is a standard information collection request under the Paperwork Reduction Act.

Burden Related to Treatment of Distributions to Foreign Persons

The IRS published a notice requesting public comments on burden estimates related to the treatment of distributions to foreign persons under information collection activities. The comment period closes June 8, 2026. This notice does not impose new reporting or recordkeeping requirements but seeks input from affected parties on existing burden estimates.

IRS Internal Revenue Bulletin - Tax Rulings, Procedures, Notices, and Decisions

IRS published Internal Revenue Bulletin 2026-15 on April 6, 2026, containing Rev. Rul. 2026-7, T.D. 10043, and five notices including guidance on corporate bond yields, segment rates, and digital asset identification relief. Notice 2026-23 requests public recommendations for the 2026-2027 Priority Guidance Plan.

ABLE Account Contribution Information and Distributions Forms Comment Request

The IRS is requesting comments on Forms 5498-QA and 1099-QA under the Paperwork Reduction Act. These forms relate to ABLE (Achieving a Better Life Experience) accounts used by individuals with disabilities to save for qualified expenses tax-free. Comments are due June 5, 2026.

Substitute Mortality Table Ruling for Pension Plans

The IRS Tax Exempt and Government Entities Division granted a private letter ruling allowing a taxpayer to use substitute mortality tables for non-annuitant populations of Plan 1 under Internal Revenue Code section 430(h)(3). The approval is effective for up to one plan year commencing January 1, 2026, covering male and female non-annuitants. This is the taxpayer's second request for substitute mortality tables for plans within its controlled group.

IRS ruling substitute mortality tables pension plans

IRS ruling substitute mortality tables pension plans

Form 3468 Energy Credit Correction

The IRS issued a correction to the 2025 Instructions for Form 3468 (Investment Tax Credit for Energy Property) affecting pages 20 and 21. The correction adds limited exceptions for qualifying geothermal and solar energy property within the applicable percentage tables for Part VI, Section A (Line 1b) and Section B (Line 3b). Taxpayers who filed before March 27, 2026 may file an amended return to apply the corrected percentages.

Waiver of Estimated Tax Penalties for Farmers and Fishermen

The IRS issued Notice 2026-24 waiving estimated tax penalties under IRC § 6654 for qualifying farmers and fishermen for the 2025 taxable year. The waiver addresses delayed Form 8995 software updates—IRS corrected the form on January 27, 2026, but compliant software was unavailable until February 23, 2026. Qualifying taxpayers must file returns and pay full tax by March 2, 2026 (the extended deadline) to claim the penalty relief.