Bloomberg Tax
Free Newsletter Sign Up
Bloomberg Tax
Welcome
Go
Free Newsletter Sign Up

IRS Rules Deliver Tax, Benefits Changes to Watch For Next Year

Dec. 22, 2020, 9:47 AM

Tax and benefits professionals received an early Christmas present in the form of two sets of final rules this month, which lay out the treatment of executive compensation and a barred deduction for fringe benefits.

Going into 2021, understanding the nuances of these rules will be critical to take advantage of new opportunities.

Executive Compensation Rules

The executive compensation final rules (T.D. 9932) address the tax law’s expansion of tax code Section 162(m), which bars companies from getting a tax write-off for executive compensation exceeding $1 million. The final rules—if published in the Federal Register by Jan. ...