The Internal Revenue Service (IRS) Large Business and International (LB&I) Division today announced a new compliance campaign focused on the Tax Cuts and Jobs Act (P.L. 115-97) and the Coronavirus Aid, Relief, and Economic Security (CARES) Act (P.L. 116-136). Compliance campaigns are part of the agency's efforts to execute issue-based examinations where "compliance issues that present risk require a response in the form of one or multiple treatment streams to achieve compliance objectives," the IRS notes.

The IRS explains in its announcement issued today:

The campaign described below was identified through LB&I data analysis and suggestions from IRS employees. LB&I's goal is to improve return selection, identify issues representing a risk of non-compliance, and make the greatest use of limited resources.

Practice Area: Enterprise Activities

Lead Executive: Nikole Flax

Point of Contact: Monique Gabel

The Tax Cuts and Jobs Act (TCJA) was signed into law on December 22, 2017. Taxpayers have filed returns for 2017 and 2018 and are in the process of preparing and filing 2019 returns. In 2020, the majority of returns that will be under review by LB&I will be returns reflecting changes brought about by TCJA; and in light of that, LB&I has initiated the TCJA Campaign to closely monitor issues on a select pool of returns and share information learned throughout LB&I and the IRS. LB&I is also considering the impact of the Coronavirus Aid, Relief and Economic Security (CARES) Act on these returns as well as any others examined. The goal of this campaign is to identify transactions, restructuring and technical issues and better understand taxpayer behavior under the new law. The treatment streams for this campaign may include examinations, soft letters, outreach, new and improved practice units and development of future issue-based campaigns.

More information on the IRS' compliance campaign initiative is posted here.

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