This Week’s Internal Revenue Bulletin

HIGHLIGHTS OF THIS ISSUE

These synopses are intended only as aids to the reader in identifying the subject matter covered. They may not be relied upon as authoritative interpretations.

EMPLOYEE PLANS

NOTICE 2020-83, page 1597. This notice contains the 2020 Required Amendments List for qualified individually designed plans and § 403(b) individually designed plans.

EXEMPT ORGANIZATIONS

T.D. 9923, page 1554. This document contains final regulations under section 529A of the Internal Revenue Code that provide guidance regarding programs under the Stephen Beck, Jr., Achieving a Better Life Experience (ABLE) Act of 2014. Section 529A provides rules under which States may establish and maintain a new type of tax-favored savings program through which contributions may be made to the account of an eligible disabled individual to meet qualified disability expenses. These accounts also receive favorable treatment for purposes of certain means-tested Federal programs. This document also contains final regulations under the Tax Cuts and Jobs Act of 2017 (TCJA), which modified the contribution limits and other provisions of section 529A. In addition, these regulations provide corresponding amendments to regulations under sections 511 and 513, with respect to unrelated business taxable income, sections 2501, 2503, 2511, 2642 and 2652, with respect to gift and generation-skipping transfer taxes, and section 6011, with respect to reporting requirements.

INCOME TAX

REV. PROC. 2020-51, page 1599. This revenue procedure provides a safe harbor for taxpayers in one of two situations to allow them to deduct certain expenses on their 2020 or later year return.

REV. RUL. 2020-26, page 1550. Federal rates; adjusted federal rates; adjusted federal long-term rate, and the long-term tax exempt rate. For purposes of sections 382, 1274, 1288, 7872 and other sections of the Code, tables set forth the rates for December 2020.

REV. RUL. 2020-27, page 1552. This revenue ruling holds that a taxpayer cannot claim deductions for certain payments on its 2020 return when the taxpayer received Paycheck Protection Program (PPP) loan proceeds and has requested PPP loan forgiveness, but has not received notice from the lender whether the PPP loan has been forgiven at the end of 2020.