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.

ADMINISTRATIVE, EMPLOYMENT TAX, INCOME TAX

T.D. 9861, page 433. This document contains final regulations that specify that employers may voluntarily truncate employees' social security numbers to appear as IRS truncated taxpayer identification numbers (TTINs) on copies of Forms W-2, Wage and Tax Statement, that are furnished to employees, consistent with the rules for truncation in Treas. Reg. 301.6109-4. The regulations also delete obsolete provisions and update cross-references in the existing regulations under sections 6051 and 6052.

EMPLOYEE PLANS

REG-121508-18, page 456. This document sets forth proposed regulations relating to the tax qualification of plans maintained by more than one employer. These plans, maintained pursuant to section 413(c) of the Internal Revenue Code (Code), are often referred to as multiple employer plans or MEPs. The proposed regulations would provide an exception, if certain requirements are met, to the application of the “unified plan rule” for a defined contribution MEP in the event of a failure by an employer participating in the plan to satisfy a qualification requirement or to provide information needed to determine compliance with a qualification requirement. These proposed regulations would affect MEPs, participants in MEPs (and their beneficiaries), employers participating in MEPs, and MEP plan administrators.

EXCISE TAX, EXEMPT ORGANIZATIONS

REG-106877-18, page 441. This document contains proposed regulations for determining the excise tax applicable to the net investment income of certain private colleges and universities, as provided by the Tax Cuts and Jobs Act. These regulations affect applicable educational institutions and their related organizations.

INCOME TAX

T.D. 9869, page 438. The final regulations clarify that where a partnership is the owner of an entity that is disregarded as separate from its owner for any purpose under section 301.7701-2, the entity is not treated as a corporation for purposes of employing direct or indirect partners of the partnership that owns the entity, but instead the partners in the partnership are subject to the same self-employment rules as partners of a partnership that does not own an entity that is disregarded as an entity separate from its owner for any purpose under section 301.7701-2.