October 2019

TAX DEVELOPMENTS

IRS Releases Final Regulations for Certain Life Insurance Contract Transactions and Modifications to the Transfer for Valuable Consideration Rules

On October 25, the IRS released final regulations for certain life insurance contract transactions and modifications to the transfer for valuable considerations rules. The final regulations provide guidance on new reporting obligations under section 6050Y related to reportable policy sales and reportable death benefits. The final regulations also address modifications to the “transfer for value” rules.

To access the full monthly LRA, please register or login.