Byrnes & Bloink’s TaxFacts Intelligence (September 17, 2020)
Posted by William Byrnes on September 17, 2020
Texas A&M University School of Law’s online wealth management, international tax risk management, and general risk management graduate curricula for industry professionals has attracted over 160 enrolled for fall semester. Apply now for courses that begin January 11.
Texas A&M, annual budget of $6.3 billion (FY2020), is the largest U.S. public university, one of only 60 accredited U.S. universities of the American Association of Universities (R1: Doctoral Universities – Highest Research Activity) and one of only 17 U.S. universities that hold the triple U.S. federal grant of Land, Sea, and Space!
- Ranked in top 20 public universities by Wall Street Journal / Times Higher Education (2020)
- #1 endowment for U.S. public universities, #7 overall
- #1 of U.S. public universities for a superior education at an affordable cost
- #1 for most CEOs employed by Fortune 500
- Rank 11th “Best Public Colleges” Money’s Best Colleges Report, 2019
- Washington Monthly 2020 ranked Texas A&M #10 for universities that contribute most to the public good in areas of social mobility, research, and promoting public service.
|
|
The big news this week: COVID hardship distributions for qualified plans was one of the headline features of the CARES Act, but Notice 2020-50 was recently released and deals with COVID distributions from nonqualified plans as well. Given the wide variety of nonqualified plans this could present some significant planning opportunities. We also see updates on excess parachute payments and proposed regs that would allow HRAs to reimburse expenses for concierge care, which is an increasingly popular option for many individuals and families..
IRS Guidance Sheds Light on Nonqualified Plan Election Rules
IRS Notice 2020-50 provided substantial guidance on the treatment of coronavirus-related distributions for both qualified and nonqualified plan purposes. With respect to Section 409A and nonqualified plans, the IRS confirmed that such a distribution would be treated as a hardship distribution. This allows nonqualified deferred compensation plans to amend their terms to allow either (1) automatic suspension of the individual’s deferral elections throughout 2020 or (2) the right for qualified individuals to elect to suspend their deferral elections during 2020. For more information on hardship and nonqualified deferred compensation plans, visit Tax Facts Online. Read More
Proposed IRS Regs Clarify Definition of “Excess Parachute Payment” for Tax-Exempt Tax Rules
Tax-exempt entities are subject to a 21 percent tax on excess compensation and excess parachute payments under the 2017 tax reform legislation. The IRS has proposed regulations clarifying that certain payments are exempt from the definition. However, amounts paid by the organization itself, a predecessor or related organization may also be included in the calculation. For more information on the new rules, visit Tax Facts Online. Read More
IRS Proposed Regs Allow HRA Reimbursement for Concierge Care
The IRS proposed regulations on direct primary care arrangements impact the medical expense deduction, availability of HRA reimbursements and eligibility for HSA participation. Under the regulations, a direct primary care arrangement could be used for medical care or medical insurance and could also be reimbursed from an HRA. However, individuals covered by these arrangements would lose eligibility to contribute to an HSA under most circumstances. For more information on the types of expenses that HRAs can cover, visit Tax Facts Online. Read More
Byrnes & Bloink’s Tax Facts Offers a Complete Web, App-Based, and Print Experience
Reducing complicated tax questions to understandable answers that can be immediately put into real-life practice, Tax Facts works when and where you need it….on your desktop, at home on your laptop, and on the go through your tablet or smartphone.
- all Tax Facts books
- Tax Facts Intelligence weekly newsletters
- weekly strategy articles for client advisory
- weekly transcribed debate discussion for client soft-skill discussion
- among other weekly client advisory critical updates
Questions? Contact customer service: TaxFactsHelp@alm.com| 800-543-0874
Leave a Reply