The IRS has issued final regs that permanently resolve a longstanding compliance problem by removing the requirement that partnerships furnish complex IRC § 751 gain and loss information to selling partners by January 31, instead aligning that deadline with the due date of the partnership’s Schedule K-1. (T.D. 10048, 5/20/2026)
The final regs adopt, without change, a set of proposed regs (REG-108822-25) that were issued in August 2025. The core of the change is to move the deadline for providing detailed information about a partner’s share of gain or loss from the deemed sale of IRC § 751 property from January 31 to the later due date of the partnership’s Schedule K-1.
To dig deeper, visit the original article on the Thomson Reuters blog.