These synopses are intended only as aids to the reader in

HIGHLIGHTS

OF THIS ISSUE





Bulletin No. 2024–9

February 26, 2024

These synopses are intended only as aids to the reader in

identifying the subject matter covered. They may not be

relied upon as authoritative interpretations.

ADMINISTRATIVE

Announcement 2024-11, page 683.

The Office of Professional Responsibility (OPR) announces

recent disciplinary sanctions involving attorneys, certified

public accountants, enrolled agents, enrolled actuaries,

enrolled retirement plan agents, and appraisers. These individuals are subject to the regulations governing practice

before the Internal Revenue Service (IRS), which are set out in

Title 31, Code of Federal Regulations, Part 10, and which are

published in pamphlet form as Treasury Department Circular

No. 230. The regulations prescribe the duties and restrictions relating to such practice and prescribe the disciplinary

sanctions for violating the regulations.

INCOME TAX

Rev. Proc. 2024-12, page 677.

This revenue procedure sets forth a temporary extension of

time to perform the procedures under §§ 30D(d)(1)(H) and

25E(c)(1)(D)(i) of the Internal Revenue Code (Code) for the

provision of seller reports to the IRS. This revenue procedure modifies sections 5.01 and 6.03 of Rev. Proc. 2022-42

Finding Lists begin on page ii.

and section 7.03(1) of Rev. Proc. 2023-33, providing new

information for the timing and manner of submission of seller

reports for sales of vehicles qualifying for the clean vehicle

credit or the previously-owned clean vehicle credit under §§

30D and 25E, respectively.

Rev. Proc. 2024-13, page 678.

This revenue procedure provides: (1) two tables of limitations

on depreciation deductions for owners of passenger automobiles placed in service by the taxpayer during calendar

year 2024; and (2) a table of dollar amounts that must be

used to determine income inclusions by lessees of passenger automobiles with a lease term beginning in calendar year

2024. The tables detailing these depreciation limitations and

amounts used to determine lessee income inclusions reflect

the automobile price inflation adjustments required by section 280F(d)(7). For purposes of this revenue procedure, the

term “passenger automobiles” includes trucks and vans.

Rev. Proc. 2024-14, page 682.

This revenue procedure provides indexing adjustments for

the applicable dollar amounts under section 4980H(c)(1) and

(b)(1) of the Internal Revenue Code. These indexed amounts

are used to calculate the employer shared responsibility payments under section 4980H(a) and (b)(1), respectively.

The IRS Mission

Provide America’s taxpayers top-quality service by helping

them understand and meet their tax responsibilities and

enforce the law with integrity and fairness to all.

Introduction

The Internal Revenue Bulletin is the authoritative instrument

of the Commissioner of Internal Revenue for announcing official rulings and procedures of the Internal Revenue Service

and for publishing Treasury Decisions, Executive Orders, Tax

Conventions, legislation, court decisions, and other items of

general interest. It is published weekly.

It is the policy of the Service to publish in the Bulletin all substantive rulings necessary to promote a uniform application

of the tax laws, including all rulings that supersede, revoke,

modify, or amend any of those previously published in the

Bulletin. All published rulings apply retroactively unless otherwise indicated. Procedures relating solely to matters of internal management are not published; however, statements of

internal practices and procedures that affect the rights and

duties of taxpayers are published.

Revenue rulings represent the conclusions of the Service

on the application of the law to the pivotal facts stated in

the revenue ruling. In those based on positions taken in rulings to taxpayers or technical advice to Service field offices,

identifying details and information of a confidential nature are

deleted to prevent unwarranted invasions of privacy and to

comply with statutory requirements.

Rulings and procedures reported in the Bulletin do not have the

force and effect of Treasury Department Regulations, but they

may be used as precedents. Unpublished rulings will not be

relied on, used, or cited as precedents by Service personnel in

the disposition of other cases. In applying published rulings and

procedures, the effect of subsequent legislation, regulations,

court decisions, rulings, and procedures must be considered,

and Service personnel and others concerned are cautioned

against reaching the same conclusions in other cases unless

the facts and circumstances are substantially the same.

The Bulletin is divided into four parts as follows:

Part I.—1986 Code.

This part includes rulings and decisions based on provisions

of the Internal Revenue Code of 1986.

Part II.—Treaties and Tax Legislation.

This part is divided into two subparts as follows: Subpart A,

Tax Conventions and Other Related Items, and Subpart B,

Legislation and Related Committee Reports.

Part III.—Administrative, Procedural, and Miscellaneous.

To the extent practicable, pertinent cross references to these

subjects are contained in the other Parts and Subparts. Also

included in this part are Bank Secrecy Act Administrative

Rulings. Bank Secrecy Act Administrative Rulings are issued

by the Department of the Treasury’s Office of the Assistant

Secretary (Enforcement).

Part IV.—Items of General Interest.

This part includes notices of proposed rulemakings, disbarment and suspension lists, and announcements.

The last Bulletin for each month includes a cumulative index

for the matters published during the preceding months. These

monthly indexes are cumulated on a semiannual basis, and are

published in the last Bulletin of each semiannual period.

The contents of this publication are not copyrighted and may be reprinted freely. A citation of the Internal Revenue Bulletin as the source would be appropriate.

February 26, 2024 

Bulletin No. 2024–9

Part III

Sections 25E and 30D

Temporary Extension of

Time to Submit Seller

Report to the IRS

Rev. Proc. 2024-12

SECTION 1. PURPOSE

This revenue procedure extends the

time for providing certain seller reports

under §§ 25E(c)(1)(D)(i) and 30D(d)(1)

(H) of the Internal Revenue Code (Code)1

to the IRS. This revenue procedure modifies sections 5.01 and 6.03 of Rev. Proc.

2022-42, 2022-52 I.R.B. 565, and section

7.03(1) of Rev. Proc. 2023-33, 2023-43

I.R.B. 1135, regarding the time and manner for submitting seller reports for sales

of vehicles qualifying for the clean vehicle credit or the previously-owned clean

vehicle credit under §§ 30D and 25E,

respectively.

SECTION 2. BACKGROUND

.01 Section 30D, Clean Vehicle Credit.

Section 30D was enacted by § 205(a) of

the Energy Improvement and Extension

Act of 2008, Division B of Public Law

110-343, 122 Stat. 3765, 3835 (October

3, 2008), to provide a credit for purchasing and placing in service new qualified

plug-in electric drive motor vehicles.

Section 30D has been amended several

times since its enactment, most recently

by § 13401 of Public Law 117-169, 136

Stat. 1818 (August 16, 2022), commonly

known as the Inflation Reduction Act of

2022 (IRA). As amended by § 13401(c)

(1) of the IRA, § 30D(d)(1) defines a new

clean vehicle as a motor vehicle that satisfies eight requirements, including that the

person who sells any vehicle to the taxpayer must furnish a report to the taxpayer

and to the Secretary of the Treasury or her

delegate (Secretary) at such time and in

such manner as the Secretary provides,

containing a list of items enumerated in

1

§ 30D(d)(1)(H)(i) through (vi). In general,

the amendments made by § 13401 of the

IRA to § 30D apply to vehicles placed in

service after December 31, 2022, except

as provided in § 13401(k)(2) through (5)

of the IRA.

.02 Section 25E, Previously-Owned

Clean Vehicle Credit. Section 13402 of

the IRA added § 25E to the Code. Section 25E(a) provides that, in the case of

a qualified buyer who during a taxable

year places in service a previously-owned

clean vehicle, an income tax credit is

allowed for the taxable year equal to the

lesser of: (1) $4,000, or (2) the amount

equal to 30 percent of the sale price with

respect to such vehicle (§ 25E credit). Section 25E(c)(1) defines a previously-owned

clean vehicle to include a requirement that

the motor vehicle meet the seller reporting

requirements of § 30D(d)(1)(H).

.03 Revenue Procedure 2022-42. Rev.

Proc. 2022-42 sets forth certain requirements for qualified manufacturers and

sellers of vehicles, including procedures

for persons selling vehicles to submit

seller reports to the IRS.

(1) Section 5.01 of Rev. Proc. 2022-42

provides that, for purposes of § 30D(d)(1)

(H), the person who sells any vehicle to the

taxpayer or, for purposes of § 25E(c)(1)

(D)(i), the dealer (as defined in § 30D(g)

(8)) who sells any vehicle to the taxpayer,

as applicable, (collectively, seller) must

furnish a report to the taxpayer and the

IRS, at such time and in such manner as

the Secretary provides containing certain

information that is listed in section 5.01 of

Rev. Proc 2022-42.

(2) Section 6.03 of Rev. Proc. 2022-42

provides that, for vehicle sales occurring

in calendar year 2023 and later, sellers

must file reports pursuant to section 5 of

Rev. Proc. 2022-42 with the IRS within

fifteen days after the end of the calendar

year. Section 6.03 of Rev. Proc. 2022-42

further provides that sellers must submit

their reporting information in a format and

method that the Secretary provides, and

that the first reports from sellers will be

due on January 15, 2024.

.04 Revenue Procedure 2023-33. Section 7.03 of Revenue Procedure 2023-33

modified sections 5.01 and 6.03 of Rev.

Proc. 2022-42, regarding procedures for

persons selling vehicles and submitting

seller reports to the IRS.

(1) Section 7.03(1) of Rev. Proc. 202333 provides that, for sales for which the

vehicle is placed in service by the taxpayer

on or after January 1, 2024, a seller must

file the seller report described in section

5.01 of Rev. Proc. 2022-42 through the

IRS Energy Credits Online Portal within

3 calendar days of the date of sale. Section 7.03(1) of Rev. Proc. 2023-33 further

provides that whenever feasible, the seller

report should be filed in conjunction with

the completion of the sale and at the time

the seller report is provided to the purchaser.

(2) Section 12 of Rev. Proc. 202333 provides, in relevant part, that the

requirements of section 7.03(1) of Rev.

Proc. 2023-33 regarding submitting seller

reports through the IRS Energy Credits

Online Portal supersede the timing and

manner of filing requirements in sections

5.01 and 6.03 of Rev. Proc. 2022-42.

.05 Reasons for modifications to Rev.

Proc. 2022-42 and Rev. Proc. 2023-33.

The Department of the Treasury and the

IRS have determined that it is appropriate

to modify certain aspects of Rev. Proc.

2022-42 and Rev. Proc. 2023-33 related to

seller reports under §§ 30D(d)(1)(H) and

25E(c)(1)(D)(i) in the interest of sound

tax administration. Specifically, the modifications to sections 5.01 and 6.03 of Rev.

Proc. 2022-42 and section 7.03(1) of Rev.

Proc. 2023-33 provide sellers additional

time to submit certain seller reports to the

IRS.

SECTION 3. MODIFICATIONS TO

REV. PROC. 2022-42

.01 Modification of section 5.01 of Rev.

Proc. 2022-42. Section 5.01 of Rev. Proc.

2022-42 is modified to read as follows:

.01 Required reports under Sections

30D and 25E. For purposes of § 30D(d)

Unless otherwise specified, all “Section” or “§” references are to sections of the Code.

Bulletin No. 2024–9

677

February 26, 2024

(1)(H), the person who sells any vehicle to the taxpayer or, for purposes of

§ 25E(c)(1)(D)(i), the dealer (as defined

in § 30D(g)(8)) who sells any vehicle to

the taxpayer, as applicable, (collectively,

seller) must furnish a report to the taxpayer and the IRS, at such time and in

such manner as the Secretary provides

containing information that is listed in this

section 5.01. For vehicle sales occurring

in calendar year 2023, the seller must provide the report to the taxpayer not later

than the date the vehicle is purchased and

must submit the report to the IRS containing the following information (other

than the information described in section

5.01(7)) no later than February 15, 2024:

(1) The name and taxpayer identification number of the seller;

(2) The name and taxpayer identification number of the taxpayer;

(3) The vehicle identification number

of the vehicle, unless, in accordance with

any applicable rules promulgated by the

Secretary of Transportation, the vehicle is

not assigned such a number;

(4) The battery capacity of the vehicle;

(5) Only for sales of new clean vehicles, verification that original use of the

vehicle commences with the taxpayer;

(6) The date of sale, sale price of the

vehicle, and maximum credit under § 30D

or § 25E, as applicable, allowable to the

taxpayer with respect to the vehicle;

(7) For sales after December 31, 2023,

in the case of a taxpayer who makes an

election to transfer the credit to an eligible

entity under § 30D(g)(1), any amount paid

or otherwise allowable as a partial payment or down payment to the taxpayer;

and

(8) A declaration applicable to the

report signed by a person currently authorized to bind the seller in these matters,

in the following form: “Under penalties

of perjury, I declare that I have examined

this report submitted to the IRS pursuant

to Revenue Procedure 2022-42 by [insert

name of seller], and to the best of my

knowledge and belief I certify that this

report is true, correct, and complete.” This

written report must be provided to the IRS

in the time and manner described in section 6.03 of this revenue procedure.

.02 Modification of Section 6.03 of Rev.

Proc. 2022-42. Section 6.03 of Rev. Proc.

2022-42 is modified to read as follows:

February 26, 2024

.03 Time for Filing Seller Reports.

For vehicle sales occurring in calendar

year 2023, Sellers must file reports pursuant to section 5 of this revenue procedure

and section § 30D(d)(1)(H) with the IRS

no later than February 15, 2024. Sellers

must submit their reporting information to

the IRS in a format and method that the

Secretary provides.

SECTION 4. MODIFICATIONS TO

REV. PROC. 2023-33

.01 Modification of section 7.03 of Rev.

Proc. 2023-33. Section 7.03(1) of Rev.

Proc. 2023-33 is modified to read as follows:

(1) Submission of seller reports for

sales made on or after January 1, 2024.

For sales for which the vehicle is placed

in service by the taxpayer between January 1, 2024, and January 16, 2024, a seller

must file the seller report described in section 5.01 of Rev. Proc. 2022-42, as modified by Rev. Proc. 2024-12, through the

IRS Energy Credits Online Portal no later

than January 19, 2024. For sales for which

the vehicle is placed in service by the taxpayer on or after January 17, 2024, a seller

must file the seller report described in section 5.01 of Rev. Proc. 2022-42, as modified by Rev. Proc. 2024-12, through the

IRS Energy Credits Online Portal within

3 calendar days of the date of sale. Whenever feasible, the seller report should be

filed in conjunction with the completion

of the sale and at the time the seller report

is provided to the purchaser.

SECTION 5. EFFECT ON OTHER

DOCUMENTS

Section 7.03(1) of Rev. Proc. 202333 is modified. Sections 5.01 and 6.03 of

Rev. Proc. 2022-42 are further modified.

SECTION 6. PAPERWORK

REDUCTION ACT

.01 The Paperwork Reduction Act

of 1995 (44 U.S.C. 3501–3520) (PRA)

requires that a Federal agency obtain the

approval of the Office of Management

and Budget (OMB) before collecting

information from the public, whether such

collection of information is mandatory,

voluntary, or required to obtain or retain a

678

benefit. A Federal agency may not conduct

or sponsor, and a person is not required to

respond to, a collection of information

unless the collection of information displays a valid control number.

.02 The revenue procedure mentions

reporting, third-party disclosure and

recordkeeping requirements, as detailed

in Revenue Procedure 2022-24, and Revenue Procedure 2023-33. This information is collected and retained to ensure

that dealers and sellers properly submit

records to claim the transfer election and

properly retain records. This information

will be used to determine whether the

dealer is eligible for the claimed advance

payment election. These seller reports

and recordkeeping requirements were

approved by OMB under 1545-2137 and

1545-2311. This revenue procedure does

not change the previously approved collection requirements; it only extends the

deadline for filing the seller reports, as

outlined in sections 3 and 4 of this revenue procedure. Extending the deadline

does not change the previously approved

burden.

.03 Books or records relating to a collection of information must be retained as

long as their contents may become material in the administration of any internal

revenue law. Generally, tax returns and

tax return information are confidential, as

required by § 6103.

SECTION 7. DRAFTING

INFORMATION

The principal author of this revenue

procedure is the Office of Associate Chief

Counsel (Passthroughs & Special Industries). For questions regarding this revenue procedure, contact at (202) 317-6855

(not a toll-free number).

26 CFR 601.105: Examination of returns and claims

for refund, credit, or abatement; determination of

correct tax liability.

(Also Part I, §§ 280F; 1.280F-7.)

Rev. Proc. 2024-13

SECTION 1. PURPOSE

This revenue procedure provides: (1)

two tables of limitations on depreciation

Bulletin No. 2024–9

deductions for owners of passenger automobiles placed in service by the taxpayer

during calendar year 2024; and (2) a table

of dollar amounts that must be used to

determine income inclusions by lessees of

passenger automobiles with a lease term

beginning in calendar year 2024. These

tables reflect the automobile price inflation adjustments required by § 280F(d)

(7) of the Internal Revenue Code. For purposes of this revenue procedure, the term

“passenger automobiles” includes trucks

and vans.

SECTION 2. BACKGROUND

.01 For owners of passenger automobiles, § 280F(a) imposes dollar limitations

on the depreciation deduction for the year

the taxpayer places the passenger automobile in service and for each succeeding

year. For passenger automobiles placed in

service after 2018, § 280F(d)(7) requires

the Internal Revenue Service to increase

the amounts allowable as depreciation

deductions by a price inflation adjustment

amount that is determined using the automobile component of the Chained Consumer Price Index for All Urban Consumers published by the Department of Labor

(C-CPI-U).

.02 Section 168(k)(1) provides that, in

the case of qualified property, the depreciation deduction allowed under § 167(a)

for the taxable year in which the property

is placed in service includes an allowance

equal to the applicable percentage of the

property’s adjusted basis, referred to as

“§ 168(k) additional first year depreciation deduction” hereinafter. Pursuant to

§ 168(k)(6)(A), the applicable percentage is

100 percent for qualified property acquired

and placed in service after September 27,

2017, and placed in service before January

1, 2023, and is phased down 20 percent

each year for property placed in service

through December 31, 2026. Accordingly,

the applicable percentage for qualified

property acquired after September 27,

2017, and placed in service after December 31, 2023, and before January 1, 2025, is

60 percent. Pursuant to § 168(k)(8)(D)(i),

no § 168(k) additional first year depreciation deduction is allowed or allowable for

qualified property acquired by the taxpayer

before September 28, 2017, and placed

in service by the taxpayer after 2019. For

Bulletin No. 2024–9

qualified property acquired and placed in

service after September 27, 2017, § 168(k)

(2)(F)(i) increases the first-year depreciation allowed under § 280F(a)(1)(A)(i) by

$8,000.

.03 Tables 1 and 2 of this revenue procedure provide depreciation limitations for

passenger automobiles placed in service

by the taxpayer during calendar year 2024.

Table 1 provides depreciation limitations

for passenger automobiles acquired by the

taxpayer after September 27, 2017, and

placed in service by the taxpayer during

calendar year 2024, for which the § 168(k)

additional first year depreciation deduction applies. Table 2 provides depreciation limitations for passenger automobiles

placed in service by the taxpayer during

calendar year 2024 for which no § 168(k)

additional first year depreciation deduction

applies. The § 168(k) additional first year

depreciation deduction does not apply for

2024 if the taxpayer: (1) did not use the

passenger automobile during 2024 more

than 50 percent for business purposes;

(2) elected out of the § 168(k) additional

first year depreciation deduction pursuant

to § 168(k)(7) for the class of property

that includes passenger automobiles; (3)

acquired the passenger automobile used

and the acquisition of such property did

not meet the acquisition requirements in

§ 168(k)(2)(E)(ii) and § 1.168(k)-2(b)(3)

(iii) of the Income Tax Regulations; or (4)

acquired the passenger automobile before

September 28, 2017, and placed it in service after 2019.

.04 Section 280F(c)(2) requires a

reduction to the amount allowable as a

deduction to the lessee of a leased passenger automobile. Pursuant to § 280F(c)(3),

the reduction must be substantially equivalent to the limitations on the depreciation

deductions imposed on owners of passenger automobiles. Under § 1.280F-7(a), this

reduction is accomplished by requiring

the lessee to include in gross income an

amount determined by applying a formula

to a dollar amount obtained from a table.

.05 Table 3 of this revenue procedure

provides the dollar amount used by lessees of passenger automobiles with a lease

term beginning in 2024 to determine the

income inclusion amount for those passenger automobiles. The table provides

dollar amounts for a range of fair market

values.

679

SECTION 3. SCOPE

.01 The limitations on depreciation

deductions in Tables 1 and 2 in section

4.01(2) of this revenue procedure apply to

passenger automobiles, other than leased

passenger automobiles, that are placed in

service by the taxpayer in calendar year

2024, and continue to apply for each taxable year that the passenger automobile

remains in service.

.02 The dollar amounts in Table 3 of

this revenue procedure apply to leased

passenger automobiles with a lease term

beginning in calendar year 2024, and continue to apply for each taxable year during

the lease.

.03 See Rev. Proc. 2019-26, 2019-24

I.R.B. 1323, for passenger automobiles

placed in service or leased during calendar year 2019; Rev. Proc. 2020-37, 202033 I.R.B. 381, for passenger automobiles

placed in service or leased during calendar year 2020; Rev. Proc. 2021-31, 202134 I.R.B. 324, for passenger automobiles

placed in service or leased during calendar year 2021; Rev. Proc. 2022-17, 202213 I.R.B. 930, for passenger automobiles

placed in service or leased during calendar year 2022; and Rev. Proc. 2023-14,

2023-6 I.R.B. 466, for passenger automobiles placed in service or leased during

calendar year 2023.

SECTION 4. APPLICATION

.01 Limitations on Depreciation

Deductions for Certain Automobiles.

(1) Amount of the inflation adjustment.

Under § 280F(d)(7)(B)(i), the automobile

price inflation adjustment for any calendar

year is the percentage (if any) by which the

C-CPI-U automobile component for October of the preceding calendar year exceeds

the automobile component of the CPI (as

defined in § 1(f)(4)) for October of 2017,

multiplied by the amount determined

under § 1(f)(3)(B). The amount determined under § 1(f)(3)(B) is the amount

obtained by dividing the new vehicle

component of the C-CPI-U for calendar

year 2016 by the new vehicle component

of the CPI for calendar year 2016, where

the C-CPI-U and the CPI for calendar year

2016 means the average of such amounts

as of the close of the 12-month period ending on August 31, 2016. Section 280F(d)

February 26, 2024

(7)(B)(ii) defines the term “C-CPI-U

automobile component” as the automobile component of the Chained Consumer

Price Index for All Urban Consumers as

described in § 1(f)(6). The product of

the October 2017 CPI new vehicle component (144.868) and the amount determined under § 1(f)(3)(B) (0.694370319)

is 100.592. The new vehicle component

of the C-CPI-U released in November

2023 was 124.743 for October 2023. The

October 2023 C-CPI-U new vehicle component exceeded the product of the October 2017 CPI new vehicle component and

the amount determined under § 1(f)(3)(B)

by 24.151 (124.743 - 100.592). The per-

centage by which the C-CPI-U new vehicle component for October 2023 exceeds

the product of the new vehicle component

of the CPI for October of 2017 and the

amount determined under § 1(f)(3)(B) is

24.009 percent (24.151/100.592 x 100%),

the automobile price inflation adjustment

for 2024 for passenger automobiles. The

dollar limitations in § 280F(a) are therefore multiplied by a factor of 0.24009, and

the resulting increases, after rounding to

the nearest $100, are added to the 2018

limitations to give the depreciation limitations applicable to passenger automobiles

for calendar year 2024. This adjustment

applies to all passenger automobiles that

are placed in service in calendar year

2024.

(2) Amount of the limitation. Tables 1

and 2 of this revenue procedure contain

the depreciation limitation for each taxable

year for passenger automobiles a taxpayer

placed in service during calendar year

2024. Use Table 1 for a passenger automobile to which the § 168(k) additional

first year depreciation deduction applies

that is acquired by the taxpayer after September 27, 2017, and placed in service by

the taxpayer during calendar year 2024;

use Table 2 for a passenger automobile

for which no § 168(k) additional first year

depreciation deduction applies.

REV. PROC. 2024-13 TABLE 1

DEPRECIATION LIMITATIONS FOR PASSENGER AUTOMOBILES ACQUIRED

AFTER SEPTEMBER 27, 2017, AND PLACED IN SERVICE DURING CALENDAR

YEAR 2024, FOR WHICH THE § 168(k) ADDITIONAL FIRST YEAR DEPRECIATION

DEDUCTION APPLIES

Tax Year

1st Tax Year

2nd Tax Year

3rd Tax Year

Each Succeeding Year

Amount

$ 20,400

$ 19,800

$ 11,900

$ 7,160

REV. PROC. 2024-13 TABLE 2

DEPRECIATION LIMITATIONS FOR PASSENGER AUTOMOBILES

PLACED IN SERVICE DURING CALENDAR YEAR 2024 FOR WHICH NO § 168(k)

ADDITIONAL FIRST YEAR DEPRECIATION DEDUCTION APPLIES

Tax Year

1st Tax Year

2nd Tax Year

3rd Tax Year

Each Succeeding Year

.02 Inclusions in Income of Lessees of

Passenger Automobiles.

A taxpayer must follow the procedures

in § 1.280F-7(a) for determining the inclu-

February 26, 2024

Amount

$ 12,400

$ 19,800

$ 11,900

$ 7,160

sion amounts for passenger automobiles

with a lease term beginning in calendar

year 2024. In applying these procedures,

680

lessees of passenger automobiles should

use Table 3 of this revenue procedure.

Bulletin No. 2024–9

REV. PROC. 2024-13 TABLE 3

DOLLAR AMOUNTS FOR PASSENGER AUTOMOBILES

WITH A LEASE TERM BEGINNING IN CALENDAR YEAR 2024

Fair Market Value

of Passenger

Automobile

Over

$62,000

64,000

66,000

68,000

70,000

72,000

74,000

76,000

78,000

80,000

85,000

90,000

95,000

100,000

110,000

120,000

130,000

140,000

150,000

160,000

170,000

180,000

190,000

200,000

210,000

220,000

230,000

240,000

Fair Market Value

of Passenger

Automobile

Not Over

$64,000

66,000

68,000

70,000

72,000

74,000

76,000

78,000

80,000

85,000

90,000

95,000

100,000

110,000

120,000

130,000

140,000

150,000

160,000

170,000

180,000

190,000

200,000

210,000

220,000

230,000

240,000

and over

SECTION 5. EFFECTIVE DATE

This revenue procedure applies to

passenger automobiles placed in service

during calendar year 2024 or with a lease

term beginning in calendar year 2024.

Bulletin No. 2024–9

1st Tax Year

During Lease

2nd Tax Year

During Lease

3rd Tax Year

During Lease

4th Tax Year

During Lease

5th Tax Year During

Lease & Later

7

21

35

49

62

76

90

104

118

142

177

211

246

298

367

437

506

575

645

714

783

852

922

991

1,060

1,130

1,199

1,268

16

47

77

107

138

168

199

229

259

313

388

465

541

655

807

958

1,111

1,263

1,414

1,566

1,719

1,871

2,022

2,175

2,327

2,478

2,631

2,783

24

69

114

159

204

250

294

340

385

463

577

689

802

971

1,196

1,423

1,647

1,873

2,099

2,325

2,549

2,775

3,001

3,226

3,452

3,678

3,902

4,128

28

82

136

191

245

298

353

406

461

556

690

826

961

1,163

1,435

1,704

1,975

2,245

2,516

2,786

3,057

3,327

3,598

3,868

4,138

4,409

4,680

4,950

32

94

157

219

281

344

406

469

531

640

797

952

1,108

1,343

1,655

1,968

2,280

2,592

2,904

3,216

3,529

3,841

4,153

4,465

4,778

5,089

5,402

5,714

SECTION 6. DRAFTING

INFORMATION

The principal author of this revenue procedure is C. Dylan Durham of

the Office of Associate Chief Counsel

681

(Income Tax & Accounting). For further

information regarding this revenue procedure, contact Mr. Durham at (202) 3177005 (not a toll-free number).

February 26, 2024

26 CFR 601.601: Rules and Regulations.

(Also Part I, §§ 4980H; 54.4980H)

Rev. Proc. 2024-14

SECTION 1. PURPOSE

This revenue procedure provides

indexing adjustments for the applicable dollar amounts under § 4980H(c)(1)

and (b)(1) of the Internal Revenue Code.

These indexed amounts are used to calculate the employer shared responsibility

payments (ESRP) under § 4980H(a) and

(b)(1), respectively.

SECTION 2. ADJUSTED ITEMS

Under § 4980H(c)(5), in the case of any

calendar year after 2014, the applicable

dollar amounts of $2,000 and $3,000 under

§ 4980H(c)(1) and (b)(1), respectively,

are increased by an amount equal to the

product of such dollar amount and the premium adjustment percentage (as defined in

§ 1302(c)(4) of the Patient Protection and

Affordable Care Act1) for the calendar year.

1

2

If the amount of any increase is not a multiple of $10, such increase is rounded to the

next lowest multiple of $10.

The Department of Health and Human

Services (HHS) published the premium

adjustment percentage for 2025 on

November 15, 2023, using the most recent

National Health Expenditure Accounts

(NHEA) income and premium data that

was available at the time of publication.

For calculation of the 2025 benefit year

payment parameters, HHS used the NHEA

Projections 2022-2031, the data source

that reflected the most recent projections

available. Using the NHEA Projections

2022-2031, the premium adjustment percentage for 2025 is the percentage (if

any) by which the NHEA Projections

2022-2031 value for per enrollee employer-sponsored insurance (ESI) premiums

for 2024 ($7,110) exceeds the NHEA Projections 2022-2031 value for per enrollee

ESI premiums for 2013 ($4,897) carried

out to ten significant digits. Using this formula, the applicable premium adjustment

percentage is 1.4519093322.2 For calendar year 2025, the adjusted $2,000 amount

under § 4980H(c)(1) is $2,900 ($2,000 x

1.4519093322 = $2,903.8186644 rounded

down to $2,900), and the adjusted

$3,000 amount under § 4980H(b)(1)

is $4,350 ($3,000 x 1.4519093322 =

$4,355.7279966 rounded down to $4,350).

SECTION 3. EFFECTIVE DATE

This revenue procedure is effective for

taxable years and plan years beginning

after December 31, 2024.

SECTION 4. DRAFTING

INFORMATION

The principal author of this revenue procedure is Jennifer Friedman of

the Office of Associate Chief Counsel

(Employee Benefits, Exempt Organizations, and Employment Taxes). For further information regarding this revenue

procedure, contact the Health and Welfare

Branch in the Office of Associate Chief

Counsel (Employee Benefits, Exempt

Organizations, and Employment Taxes) at

(202) 317-5500 (not a toll-free number).

Pub. L. 111–148, 124 Stat. 119 (2010).

See https://www.cms.gov/files/document/2025-papi-parameters-guidance-2023-11-15.pdf

February 26, 2024

682

Bulletin No. 2024–9

Part IV

Announcement of

Disciplinary Sanctions

From the Office of

Professional Responsibility

Announcement 2024-11

The Office of Professional Responsibility (OPR) announces recent disciplinary sanctions involving attorneys, certified public accountants, enrolled agents,

enrolled actuaries, enrolled retirement

plan agents, appraisers, and unenrolled/

unlicensed return preparers (individuals

who are not enrolled to practice and are

not licensed as attorneys or certified public accountants). Licensed or enrolled

practitioners are subject to the regulations

governing practice before the Internal

Revenue Service (IRS), which are set out

in Title 31, Code of Federal Regulations,

Subtitle A, Part 10, and which are released

as Treasury Department Circular No.

230. The regulations prescribe the duties

and restrictions relating to such practice

and prescribe the disciplinary sanctions

for violating the regulations. Unenrolled/

unlicensed return preparers are subject to

Revenue Procedure 81-38 and superseding guidance in Revenue Procedure 201442, which govern a preparer’s eligibility

to represent taxpayers before the IRS in

examinations of tax returns the preparer

both prepared for the taxpayer and signed

as the preparer. Additionally, unenrolled/

unlicensed return preparers who voluntarily participate in the Annual Filing Season Program under Revenue Procedure

2014-42 agree to be subject to the duties

and restrictions in Circular 230, including

the restrictions on incompetent or disreputable conduct.

The disciplinary sanctions to be

imposed for violation of the applicable

standards are:

Disbarred from practice before the

IRS—An individual who is disbarred

is not eligible to practice before the IRS

as defined at 31 C.F.R. § 10.2(a)(4) for a

minimum period of five (5) years.

Suspended from practice before the

IRS—An individual who is suspended is

Bulletin No. 2024–9

not eligible to practice before the IRS as

defined at 31 C.F.R. § 10.2(a)(4) during

the term of the suspension.

Censured in practice before the

IRS—Censure is a public reprimand.

Unlike disbarment or suspension, censure

does not affect an individual’s eligibility

to practice before the IRS, but OPR may

subject the individual’s future practice

rights to conditions designed to promote

high standards of conduct.

Monetary penalty—A monetary penalty may be imposed on an individual who

engages in conduct subject to sanction,

or on an employer, firm, or entity if the

individual was acting on its behalf and it

knew, or reasonably should have known,

of the individual’s conduct.

Disqualification of appraiser—An

appraiser who is disqualified is barred

from presenting evidence or testimony in

any administrative proceeding before the

Department of the Treasury or the IRS.

Ineligible for limited practice—An

unenrolled/unlicensed return preparer

who fails to comply with the requirements

in Revenue Procedure 81-38 or to comply

with Circular 230 as required by Revenue

Procedure 2014-42 may be determined

ineligible to engage in limited practice as

a representative of any taxpayer.

Under the regulations, individuals

subject to Circular 230 may not assist,

or accept assistance from, individuals

who are suspended or disbarred with

respect to matters constituting practice

(i.e., representation) before the IRS, and

they may not aid or abet suspended or

disbarred individuals to practice before

the IRS.

Disciplinary sanctions are described in

these terms:

Disbarred by decision, Suspended by

decision, Censured by decision, Monetary penalty imposed by decision, and

Disqualified after hearing—An administrative law judge (ALJ) issued a decision

imposing one of these sanctions after the

ALJ either (1) granted the government’s

summary judgment motion or (2) conducted an evidentiary hearing upon OPR’s

complaint alleging violation of the regulations. After 30 days from the issuance of

the decision, in the absence of an appeal,

683

the ALJ’s decision becomes the final

agency decision.

Disbarred by default decision, Suspended by default decision, Censured

by default decision, Monetary penalty

imposed by default decision, and Disqualified by default decision—An ALJ,

after finding that no answer to OPR’s complaint was filed, granted OPR’s motion for

a default judgment and issued a decision

imposing one of these sanctions.

Disbarment by decision on appeal,

Suspended by decision on appeal, Censured by decision on appeal, Monetary penalty imposed by decision on

appeal, and Disqualified by decision

on appeal—The decision of the ALJ was

appealed to the agency appeal authority,

acting as the delegate of the Secretary

of the Treasury, and the appeal authority

issued a decision imposing one of these

sanctions.

Disbarred by consent, Suspended by

consent, Censured by consent, Monetary penalty imposed by consent, and

Disqualified by consent—In lieu of a

disciplinary proceeding being instituted

or continued, an individual offered a consent to one of these sanctions and OPR

accepted the offer. Typically, an offer of

consent will provide for: suspension for

an indefinite term; conditions that the

individual must observe during the suspension; and the individual’s opportunity, after a stated number of months, to

file with OPR a petition for reinstatement

affirming compliance with the terms of

the consent and affirming current fitness

and eligibility to practice (i.e., an active

professional license or active enrollment

status, with no intervening violations of

the regulations).

Suspended indefinitely by decision in

expedited proceeding, Suspended indefinitely by default decision in expedited

proceeding, Suspended by consent in

expedited proceeding—OPR instituted

an expedited proceeding for suspension

(based on certain limited grounds, including loss of a professional license for cause,

and criminal convictions).

Determined ineligible for limited

practice—There has been a final determination that an unenrolled/unlicensed

February 26, 2024

return preparer is not eligible for limited

representation of any taxpayer because the

preparer violated standards of conduct or

failed to comply with any of the requirements to act as a representative.

A practitioner who has been disbarred or suspended under 31 C.F.R.

§ 10.60, or suspended under § 10.82,

or a disqualified appraiser may petition

for reinstatement before the IRS after

the expiration of 5 years following such

disbarment, suspension, or disqualification (or immediately following the

expiration of the suspension or disqualification period if shorter than 5 years).

Reinstatement will not be granted unless

the IRS is satisfied that the petitioner is

not likely to engage thereafter in conduct contrary to Circular 230, and that

granting such reinstatement would not

be contrary to the public interest.

Reinstatement decisions are published

at the individual’s request, and described

in these terms:

Reinstated to practice before the

IRS—The individual’s petition for

reinstatement has been granted. The

agent, and eligible to practice before the

IRS, or in the case of an appraiser, the

individual is no longer disqualified.

Reinstated to engage in limited

practice before the IRS—The individual’s petition for reinstatement has been

granted. The individual is an unenrolled/

unlicensed return preparer and eligible to

engage in limited practice before the IRS,

subject to requirements the IRS has prescribed for limited practice by tax return

preparers.

OPR has authority to disclose the

grounds for disciplinary sanctions in these

situations: (1) an ALJ or the Secretary’s del-

egate on appeal has issued a final decision;

(2) the individual has settled a disciplinary

case by signing OPR’s “consent to sanction” agreement admitting to one or more

violations of the regulations and consenting

to the disclosure of the admitted violations

(for example, failure to file Federal income

tax returns, lack of due diligence, conflict

of interest, etc.); (3) OPR has issued a decision in an expedited proceeding for indefinite suspension; or (4) OPR has made a

final determination (including any decision

on appeal) that an unenrolled/unlicensed

return preparer is ineligible to represent

any taxpayer before the IRS.

Announcements of disciplinary sanctions appear in the Internal Revenue Bulletin at the earliest practicable date. The

sanctions announced below are alphabetized first by state and second by the last

names of the sanctioned individuals.

City & State

Name

Professional

Designation

Disciplinary Sanction

Effective Date(s)

California

Cambria

Gould, Kenneth L.

CPA

Indefinite from

October 3, 2023

Los Angeles

Greenberg, Mark W.

CPA

Suspended by decision in

expedited proceeding under

31 C.F.R. § 10.82(b)

Suspended by decision in

expedited proceeding under

31 C.F.R. § 10.82(b)

Colorado

Edgewater

Barclay, Devon M.

Attorney

Suspended by decision in

expedited proceeding under

31 C.F.R. § 10.82(b)

Indefinite from

October 23, 2023

Swart, Jr., Harold J.

CPA

Suspended by default decision in

expedited proceeding under

31 C.F.R. § 10.82(b)

Indefinite from

November 13, 2023

Indefinite from

October 3, 2023

Florida

Kissimmee

Missouri

Gray, Jr., Charles P., see

Tennessee

North Carolina

Fayetteville

Cooper, Jr., Willie

CPA

Suspended by default decision in

expedited proceeding under

31 C.F.R. § 10.82(b)

Indefinite from

October 11, 2023

Philadelphia

Millerstown

Turner, James H.

Attorney

Suspended by default decision in

expedited proceeding under

31 C.F.R. § 10.82(b)

Indefinite from

November 13, 2023

February 26, 2024

684

Bulletin No. 2024–9

City & State

Name

Professional

Designation

Disciplinary Sanction

Effective Date(s)

Tennessee

Spring Hill

Gray, Jr., Charles P.

Attorney

Suspended by default decision

in expedited proceeding under

31 C.F.R. § 10.82(b)

Indefinite from

October 11, 2023

Texas

Katy

Burgess, Shannon S.

CPA

Suspended by default decision

in expedited proceeding under

31 C.F.R. § 10.82(b)

Indefinite from

October 13, 2023

Bulletin No. 2024–9

685

February 26, 2024

Definition of Terms

Revenue rulings and revenue procedures

(hereinafter referred to as “rulings”) that

have an effect on previous rulings use the

following defined terms to describe the

­effect:

Amplified describes a situation where

no change is being made in a prior published position, but the prior position is

being extended to apply to a variation of

the fact situation set forth therein. Thus,

if an earlier ruling held that a principle

applied to A, and the new ruling holds that

the same principle also applies to B, the

earlier ruling is amplified. (Compare with

modified, below).

Clarified is used in those instances

where the language in a prior ruling is

being made clear because the language

has caused, or may cause, some confusion. It is not used where a position in a

prior ruling is being changed.

Distinguished describes a situation

where a ruling mentions a previously published ruling and points out an essential

difference between them.

Modified is used where the substance

of a previously published position is being

changed. Thus, if a prior ruling held that a

principle applied to A but not to B, and the

new ruling holds that it applies to both A

and B, the prior ruling is modified because

it corrects a published position. (Compare

with amplified and clarified, above).

Obsoleted describes a previously published ruling that is not considered determinative with respect to future transactions.

This term is most commonly used in a ruling

that lists previously published rulings that

are obsoleted because of changes in laws or

regulations. A ruling may also be obsoleted

because the substance has been included in

regulations subsequently adopted.

Revoked describes situations where the

position in the previously published ruling

is not correct and the correct position is

being stated in a new ruling.

Superseded describes a situation where

the new ruling does nothing more than

restate the substance and situation of a

previously published ruling (or rulings).

Thus, the term is used to republish under

the 1986 Code and regulations the same

position published under the 1939 Code

and regulations. The term is also used

when it is desired to republish in a single

ruling a series of situations, names, etc.,

that were previously published over a

period of time in separate rulings. If the

new ruling does more than restate the substance of a prior ruling, a combination of

terms is used. For example, modified and

superseded describes a situation where the

substance of a previously published ruling

is being changed in part and is continued

without change in part and it is desired to

restate the valid portion of the previously

published ruling in a new ruling that is

self contained. In this case, the previously

published ruling is first modified and then,

as modified, is superseded.

Supplemented is used in situations in

which a list, such as a list of the names of

countries, is published in a ruling and that

list is expanded by adding further names

in subsequent rulings. After the original

ruling has been supplemented several

times, a new ruling may be published that

includes the list in the original ruling and

the additions, and supersedes all prior rulings in the series.

Suspended is used in rare situations

to show that the previous published rulings will not be applied pending some

future action such as the issuance of new

or amended regulations, the outcome of

cases in litigation, or the outcome of a

Service study.

Abbreviations

The following abbreviations in current

use and formerly used will appear in

material published in the Bulletin.

A—Individual.

Acq.—Acquiescence.

B—Individual.

BE—Beneficiary.

BK—Bank.

B.T.A.—Board of Tax Appeals.

C—Individual.

C.B.—Cumulative Bulletin.

CFR—Code of Federal Regulations.

CI—City.

COOP—Cooperative.

Ct.D.—Court Decision.

CY—County.

D—Decedent.

DC—Dummy Corporation.

DE—Donee.

Del. Order—Delegation Order.

DISC—Domestic International Sales Corporation.

DR—Donor.

E—Estate.

EE—Employee.

E.O.—Executive Order.

ER—Employer.

Bulletin No. 2024–9

ERISA—Employee Retirement Income Security Act.

EX—Executor.

F—Fiduciary.

FC—Foreign Country.

FICA—Federal Insurance Contributions Act.

FISC—Foreign International Sales Company.

FPH—Foreign Personal Holding Company.

F.R.—Federal Register.

FUTA—Federal Unemployment Tax Act.

FX—Foreign corporation.

G.C.M.—Chief Counsel’s Memorandum.

GE—Grantee.

GP—General Partner.

GR—Grantor.

IC—Insurance Company.

I.R.B.—Internal Revenue Bulletin.

LE—Lessee.

LP—Limited Partner.

LR—Lessor.

M—Minor.

Nonacq.—Nonacquiescence.

O—Organization.

P—Parent Corporation.

PHC—Personal Holding Company.

PO—Possession of the U.S.

PR—Partner.

PRS—Partnership.

i

PTE—Prohibited Transaction Exemption.

Pub. L.—Public Law.

REIT—Real Estate Investment Trust.

Rev. Proc.—Revenue Procedure.

Rev. Rul.—Revenue Ruling.

S—Subsidiary.

S.P.R.—Statement of Procedural Rules.

Stat.—Statutes at Large.

T—Target Corporation.

T.C.—Tax Court.

T.D.—Treasury Decision.

TFE—Transferee.

TFR—Transferor.

T.I.R.—Technical Information Release.

TP—Taxpayer.

TR—Trust.

TT—Trustee.

U.S.C.—United States Code.

X—Corporation.

Y—Corporation.

Z—Corporation.

February 26, 2024

Numerical Finding List1

Bulletin 2024–9

Announcements:

2024-1, 2024-02 I.R.B. 363

2024-3, 2024-02 I.R.B. 364

2024-5, 2024-05 I.R.B. 635

2024-6, 2024-05 I.R.B. 635

2024-4, 2024-06 I.R.B. 665

2024-7, 2024-07 I.R.B. 673

2024-8, 2024-07 I.R.B. 674

2024-9, 2024-07 I.R.B. 675

2024-12, 2024-08 I.R.B. 676

2024-11, 2024-08 I.R.B. 683

Revenue Rulings:

2024-1, 2024-02 I.R.B. 307

2024-2, 2024-02 I.R.B. 311

2024-3, 2024-06 I.R.B. 646

2024-5, 2024-07 I.R.B. 666

Treasury Decisions:

9984, 2024-03 I.R.B. 386

9985, 2024-05 I.R.B. 573

9986, 2024-05 I.R.B. 610

9987, 2024-06 I.R.B. 648

Notices:

2024-1, 2024-02 I.R.B. 314

2024-2, 2024-02 I.R.B. 316

2024-3, 2024-02 I.R.B. 338

2024-4, 2024-02 I.R.B. 343

2024-5, 2024-02 I.R.B. 347

2024-6, 2024-02 I.R.B. 348

2024-7, 2024-02 I.R.B. 355

2024-8, 2024-02 I.R.B. 356

2024-9, 2024-02 I.R.B. 358

2024-11, 2024-02 I.R.B. 360

2024-10, 2024-03 I.R.B. 406

2024-12, 2024-05 I.R.B. 616

2024-13, 2024-05 I.R.B. 618

2024-16, 2024-05 I.R.B. 622

2024-18, 2024-05 I.R.B. 625

2024-19, 2024-05 I.R.B. 627

2024-21, 2024-06 I.R.B. 659

2024-22, 2024-06 I.R.B. 662

2024-20, 2024-07 I.R.B. 668

2024-23, 2024-07 I.R.B. 672

Proposed Regulations:

REG-118492-23, 2024-02 I.R.B. 366

REG-107423-23, 2024-03 I.R.B. 411

REG-121010-17, 2024-05 I.R.B. 636

Revenue Procedures:

2024-1, 2024-01 I.R.B. 1

2024-2, 2024-01 I.R.B. 119

2024-3, 2024-01 I.R.B. 143

2024-4, 2024-01 I.R.B. 160

2024-5, 2024-01 I.R.B. 262

2024-7, 2024-01 I.R.B. 303

2024-8, 2024-04 I.R.B. 479

2024-9, 2024-05 I.R.B. 628

2024-12, 2024-09 I.R.B. 677

2024-13, 2024-09 I.R.B. 678

2024-14, 2024-09 I.R.B. 682

A cumulative list of all revenue rulings, revenue procedures, Treasury decisions, etc., published in Internal Revenue Bulletins 2023–27 through 2023–52 is in Internal Revenue Bulletin

2023–52, dated December 26, 2023.

1

February 26, 2024

ii

Bulletin No. 2024–9

Finding List of Current Actions on

Previously Published Items1

Bulletin 2024–9

A cumulative list of all revenue rulings, revenue procedures, Treasury decisions, etc., published in Internal Revenue Bulletins 2023–27 through 2023–52 is in Internal Revenue Bulletin

2023–52, dated December 26, 2023.

1

Bulletin No. 2024–9

iii

February 26, 2024

Internal Revenue Service

Washington, DC 20224

Official Business

Penalty for Private Use, $300

INTERNAL REVENUE BULLETIN

The Introduction at the beginning of this issue describes the purpose and content of this publication. The weekly Internal Revenue

Bulletins are available at www.irs.gov/irb/.

We Welcome Comments About the Internal Revenue Bulletin

If you have comments concerning the format or production of the Internal Revenue Bulletin or suggestions for improving it,

we would be pleased to hear from you. You can email us your suggestions or comments through the IRS Internet Home Page

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