Monday, April 17, 2023
IRS: Compelled Sterilization Bills Are Excludible From Source of revenue Underneath § 104(a)(2)
IR 2023-81 (Apr. 14, 2023), IRS Problems Often Requested Questions about Reimbursement Bills Made by way of States for Compelled Sterilization:
The Inside Income Provider lately issued regularly requested questions (FAQs) to supply steerage for sufferers who’ve gained state reimbursement funds for compelled, involuntary, or coerced sterilization, in Truth Sheet FS-2023-11.
Some states have enacted law to compensate sufferers of compelled sterilization below state systems. Those states have made funds to these sufferers pursuant to the law. The FAQs cope with the federal revenue tax penalties of those funds.
Legislation 360, Sterilization Bills No longer Reportable Source of revenue, IRS Says
Kudos to Katie Pratt (Loyola-L.A.) for her paintings with the IRS and Treasury Division in this factor. (Hat Tip: Nina Olson (Heart for Taxpayer Rights) & Christine Speidel (Villanova).)
https://taxprof.typepad.com/taxprof_blog/2023/04/irs-forced-sterilization-payments-are-excludible-from-income-under-104a2.html
