Warren Slams Move to End IRS Partnership Oversight Regulations

Proposed IRS rules scrapping reporting requirements for complex partnerships will neutralize one of the few remaining tools the agency has to identify abusive partnership transactions, Senate Democrats are warning in a new missive to IRS and Treasury Department officials.

The letter, led by Sen. Elizabeth Warren (D-Mass.), pushed back on regulations proposed in March that rescind final rules requiring the reporting of partnerships’ basis-adjustment transactions to the IRS.

“This requirement effectively sent up a red flag for the IRS to examine, an especially important signal for an agency with limited resources,” Warren wrote to ...