The IRS Large Business and International division (LB&I) is rolling out a series of campaigns focused on specific compliance issues. The division analyzed extensive data as well as suggestions from IRS compliance employees and the tax community to improve large business compliance activities.
Deferred Variable Annuity Reserves and Life Insurance Reserves issues will be accepted into the IRS’ Industry Issue Resolution program (see Rev. Proc. 2016-19) to develop guidance to address uncertainties on important issues such as the amounts to be taken into account in determining tax reserves for both deferred variable annuities with Guaranteed Minimum Benefits, and Life Insurance contracts. Industry stakeholders, Chief Counsel, and the Treasury will work together to provide certainty to taxpayers regarding these related issues.
For more information on this and other IRS LB&I compliance campaigns, click here: https://www.irs.gov/businesses/large-business-and-international-launches-compliance-campaigns