Changes expand application of $1 million deduction limitation
New proposed regulations under Section 162(m) reflect amendments made by the Tax Cuts and Jobs Act and would expand the scope of the $1 million income tax deduction limitation for compensation paid by public issuers to covered employees. As a result, some taxpayers may become subject to the deduction limitation for the first time, including partnerships with public company partners and foreign private issuers. The changes would also affect existing public companies and their tax compliance.
In this webcast, our panelists will provide an overview of the changes to the rules, including the expansion of the public issuer and covered employee definitions, and discuss areas where taxpayers may want to consider providing public comment. Our panelists will also review planning and compliance topics, including: