micro-captives News

Supreme Court Backs Challenge to IRS Micro-Captive Reporting Rule

The U.S. Supreme Court has allowed a challenge to an Internal Revenue Services (IRS) requirement for firms to report micro-captive insurance arrangements to proceed. The IRS authority to require the captive reporting is being challenged as invalid by a Tennessee …

IRS Urges Participants in ‘Abusive’ Micro-Captives to Get Out Now

Internal Revenue Service officials are again urging participants in “abusive” micro-captive insurance arrangements to exit these transactions as soon as possible. The IRS considers that many micro-captive arrangements are not really about insurance. The IRS has stepped up examinations of …

IRS Takes Aim at ‘Abusive Micro-Captive Practices’ with Another Settlement Offer

As the pandemic and rising insurance costs fuel greater interest by large firms in creating captive insurance organizations, the Internal Revenue Service continues to question small captive operations that it has long argued are tax avoidance vehicles and not valid …

IRS Makes Settlement Offer to Taxpayers Involved in ‘Dirty’ Micro-Captive Insurance

The Internal Revenue Service said it is mailing a time-limited settlement offer for certain taxpayers under audit who participated in what the IRS calls “abusive micro-captive insurance” transactions. The IRS has been warning about these micro-captives for several years and …