Kat Gregor, tax partner and co-founder of the tax controversy group, was recently appointed to both Law360’s Tax and Tax Authority Federal Editorial Advisory Boards. The purpose of these boards, according to the announcement, is “to get feedback on Law360’s coverage and gain insight from experts in the field on how best to shape future coverage.”
On March 21, 2019, the IRS announced it is temporarily suspending two revenue rulings addressing tax-free spinoffs. The suspended rulings had arguably required the distributing corporation and the spun-off corporation to each independently generate current revenue. This development is welcome news for life sciences, technology, and other research and development (R&D)-focused business organizations that did not pursue a tax-free spinoff because of a perceived revenue requirement. The move comes on the heels of the IRS’s September 2018 announcement that it is prepared to issue favorable rulings on the tax-free treatment of corporate spinoffs by research-intensive business ventures that do not currently collect income, while the IRS studies the issue.
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