What’s New with Taxes and the IRS: May 2022

Here’s a look at some key tax and IRS developments, announcements and news during May of 2022.

Last updated: May 23, 2022
Candace J. Dixon

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May 23, 2022 Internal Revenue Bulletin: 2022–21:

  • Notice 2022–20 Credit for Renewable Electricity Production and Publication of Inflation Adjustment Factor and Reference Price for Calendar Year 2022
  • Notice 2022–24 2022 Marginal Production Rates
  • Rev. Proc. 2022–22 Individuals required to make returns of income — simplified procedures for residents of Puerto Rico meeting other requirements but not required to file 2021 federal tax returns to claim the child tax credit.
  • REG-122770–18 Proposed regs. on Use of Actuarial Tables in Valuing Annuities, Interests for Life or a Term of Years, and Remainder or Reversionary Interests

May 20, 2022 An advance of Notice 2022–28 was released with guidance on how income and employment taxes of cash payments made by employers in leave-based donation programs to aid Russia/Ukraine war victims are treated. Treatment of Amounts Paid to Section 170(c) Organizations under Employer Leave Based Donation Programs to Aid Victims of the Further Russian Invasion of Ukraine.

May 20, 2022 A revised set of frequently asked questions was issued for the 2021 Child Tax Credit in Fact Sheet 2022–29.

May 20, 2022 Revenue Ruling 2022–11 Determination of Rate of Interest was released.

May 19, 2022 Notice 2022–25 Update for Weighted Average Interest Rates, Yield Curves, and Segment Rates was released.

May 16, 2022 Rev. Rul. 2022–10 Applicable Federal Rates for June 2022 was released.

May 16, 2022 Internal Revenue Bulletin: 2022–20 highlights:

  • Notice 2022–21 Public Recommendations Invited on Items to be Included on the 2022–2023 Priority Guidance Plan; the Treasury and IRS ask the public for recommendations on items to include in the 2022–2023 Priority Guidance Plan, which is used to identify and prioritize the tax issues that will be addressed during the coming year through regulations, revenue rulings, revenue procedures, notices, and other guidance.
  • Notice 2022–22 Updated Mortality Improvement Rates and Static Mortality Tables for Defined Benefit Pension Plans for 2023 updates the tables for mortality improvement rates and static mortality used in determining present values for defined benefit pension plans.
  • Notice 2022–23 Proposed Amendments to the Qualified Intermediary Agreement in Rev. Proc. 2017–1 proposes changes that let qualified intermediaries assume withholding and reporting responsibilities for taxes on gains recognized by foreign persons on the disposition of partnerships if its treated as effectively connected income.
  • Rev. Proc. 2022–24 2023 Inflation adjusted amounts for Health Savings Accounts (HSAs), and maximum amount that can be made newly available for some benefit health reimbursement arrangements (HRAs) The maximum contribution that can be made by individuals with self-only coverage is $3,850, which is an increase of $200 from 2022, and four times the 2021 to 2022 adjustment. The maximum contribution for individuals having family coverage is $7,750, an increase of $450.
  • REG-106384–20, Mortality Tables for Determining Present Value under Defined Benefit Pension Plans; proposed regs. with mortality tables based on age, gender, and other factors used by most defined benefit pension plans in determining present value of expected future benefit payments.
  • REG-118913–21 Limitation on the Special Rule Regarding a Difference in the Basic Exclusion Amount; Proposed estate and gift tax regs. provide that the basic exclusion amount (BEA) is $10 million as adjusted for inflation on estates of decedents dying and gifts made beginning in 2018 and through 2025, then reverts to $5 million as adjusted for inflation January 1, 2026.

May 13, 2022 Veterans and military spouses could qualify for immediate Bilingual (Spanish) Contact Representative and Supervisory Contact Representative positions in Puerto Rico during IRS job fairs at Fort Buchanan, Puerto Rico, open to Veterans and military spouses only, on May 17 and 18, 2022. Most positions are entry-level and don’t require tax experience.

May 13, 2022 Filing Season Statistics for Week Ending May 6, 2022: The IRS 94 million refunds worth $285 billion had been completed by the IRS as of May 6, with an average refund of $3,025.

May 13, 2022 IRS Statement — Information Returns. The IRS processed 3.2 billion information returns submitted by third-party payors in 2020. 99% of the were matched with the corresponding tax returns and processed, but 1% were destroyed to make room for pending 2021 documents due to software limitations, with “no negative taxpayer consequences” resulting.

May 13, 2022 Advance of Notice 2022–27, Extension of Temporary Relief from the Physical Presence Requirement Through December 31, 2022 extends temporary relief from the physical presence requirement in Notice 2021–40 by 6 months, to December 31, 2022.

May 10, 2022 The IRS announced tax relief for Colfax, Lincoln, Mora, San Miguel and Valencia counties in New Mexico following FEMA’s disaster declaration. Victims of wildfires and straight-line winds in those New Mexico counties have until August 31, 2022 to file various individual and business tax returns with original or extended due dates of April 5, 2022 or after, and before August 31, 2022.

May 10, 2022 Registration is open for the annual 2022 IRS Nationwide Tax Forum, where particpants can earn up to 28 continuing education credits. This year’s forum is virtual again and begins July 19, 2022 with sessions live-streamed on Tuesdays, Wednesdays, and Thursdays for five weeks.

May 10, 2022 The IRS announced extended hours at some Taxpayer Assistance Centers (TACs), with some locations open Saturday, May 14 from 9 a.m. - 4 p.m. with no appointment needed for those still needing help.

May 10, 2022 The IRS reminded residents of Puerto Rico about their potential eligibility for the refundable Child Tax Credit under the American Resuce Plan, and that they need to file a federal tax return to receive it. The Child Tax Credit is up to $3,600 for age 5 and younger, or $3,000 up to age 17 at the end of 2021. The Taxpayer Assistance Center in Guaynabo is open Saturday, May 14.

May 10, 2022 An advance of Rev. Proc. 2022–22: Individuals required to make returns of income provides for simplified procedures for residents of Puerto Rico to file 2021 tax returns to claim the child tax credit.

May 9, 2022 Internal Revenue Bulletin: 2022–19. Announcement 2022–8 provides notification that no articles were submitted for publication.

May 9, 2022 Here are some IRS highlights from Small Business Week:

May 6, 2022 According to a statement from the IRS wrapping up the 2022 filing season, 92.5 million refunds worth $279 billion have been given, with an average refund of $3,019, as of April 29.

May 6, 2022 The IRS announced the opening of the application period for Low Income Taxpayer Clinic (LITC), a federal grant program administered by the Taxpayer Advocate Service (TAS), matching grants for calendar year 2023. Applications will be accepted from May 2 to June 16, 2022.

March 6, 2022 The IRS issued Rev. Proc. 2022–22 with guidance for residents of Puerto Rico about claiming the Child Tax Credit. Residents of Puerto Rico can file a tax return with Form 1040-PR, Form 1040-SS, or Form 1040-SR by April 15, 2025, even if they don’t owe taxes, with no penalties.

March 6, 2022 During National Small Business Week 2022, the IRS highlighted tax benefits and resources related to this year’s theme, “Building a Better America through Entrepreneurship”, including the Work Opportunity Tax Credit.

March 5, 2022 The IRS gave a reminder that May is National Hurricane Preparedness Week and National Wildfire Awareness Month, and a good time to create and review emergency preparedness plans, including steps that protect tax-related information.

The IRS also published their latest “A Closer Look” column Planning for Disasters, featuring IRS Commissioner Chuck Rettig discussing safeguarding tax and financial records to prepare for potential disasters:

“Whether you live in an area frequently impacted by disasters or not, being prepared for an event that could cause damage to your home, your personal property and important documents is critical,” said Rettig. “One of the most important things I tell family and friends to do is to safeguard their financial records.”

IRS Video

March 5, 2022 The FSLG e-Newsletter was released featuring: Help Improve IRS.gov — Participate in a study; CP2100 and CP2100A Notices; FSLG Website; and Section 218 Videos

March 4, 2022 e-News for Payroll Professionals was issued, covering employer penalty relief for Employee Retention Tax Credit claims; how IRS Notices CP2100 and 2100A help correct backup withholding errors; Offer in Compromise Form 656 Booklet 2022 updates; nominations for 2023 Internal Revenue Service Advisory Council; New forms, instructions and publications; and more.

March 4, 2022 The IRS issued a tax tip about annual information returns due from tax-exempt organizations by May 16, 2022.

March 3, 2022 e-News for Charities & Nonprofits was released, featuring Help Improve IRS.gov; Nominations for 2023 Internal Revenue Service Advisory Council; and IRS Issues Notices CP2100 and CP2100A.

March 3, 2022 The IRS issued an advance release of Notice 2022–23: 26 CFR 1.1441–1(e)(5) and (6). Proposed Amendments to the Qualified Intermediary Agreement in Rev. Proc. 2017–15.

March 3, 2023 Read the Written Testimony of Charles P. Rettig, Commissioner of the IRS, Before the Senate, on the Filing Season and the IRS Budget:

March 2, 2022 Internal Revenue Bulletin: 2022–18

  • Rev. Rul. 2022–9 Section 1274. — Determination of Issue Price in the Case of Certain Debt Instruments Issued for Property
  • Notice 2022–15 Temporary Relief from Penalty for Failure to Deposit Superfund Chemical Taxes
  • Notice 2022–16 Update for Weighted Average Interest Rates, Yield Curves, and Segment Rates
  • Notice 2022–17 2021 Section 45K(d)(2)( C )Reference Price
  • Notice 2022–18 Reference Price for Section 45I Credit for Production of Natural Gas from Marginal Wells During Taxable Years Beginning in Calendar Year 2021
  • Notice 2022–19 2022 Section 43 Inflation Adjustment
  • Rev. Proc. 2022–23 Depreciation of Indian reservation and biofuel property and accounting for TV, film, and theater production costs late elections

March 2–5, 2022The IRS issued several news releases recognizing National Small Business Week 2022:

March 2, 2022 The IRS issued a tax tip about the CP2100 and CP2100A notices they sent in April to banks, credit unions, businesses and payers who filed returns that don’t match IRS records.

March 2, 2022 The IRS announced the application period for Low Income Taxpayer Clinic (LITC) matching grants for calendar year 2023; applications will be accepted May 2 to June 16, 2022. The LITC Program is a federal grant program administered by the Taxpayer Advocate Service (TAS).

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I’m an accountant and freelance content writer who thrives on researching the latest topics and trends in small business tax, accounting, finance and marketing.

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Candace J. Dixon

Candace J. Dixon

I’m an accountant and freelance content writer who thrives on researching the latest topics and trends in small business tax, accounting, finance and marketing.

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