Taxation
Micro-Captives Retain Their Spot on IRS 2024 Dirty Dozen List
The Internal Revenue Service (IRS) has released its 2024 Dirty Dozen list, and once again, micro-captive insurance arrangements are included on the list. Learn More
Florida Commences Self-Procurement Tax Audits for Businesses with Captives
Florida audits businesses with captive insurance for self-procurement tax compliance, signaling stricter enforcement in the sector. Learn More
Takeaways from the IRS's Latest Micro-Captive Tax Court Victory
The Internal Revenue Service's (IRS's) recent micro-captive insurance Tax Court win in Swift v. Commissioner provides some additional insight as to how the Tax Court may analyze future micro-captive cases. Read More
Swift Becomes 6th Straight IRS Micro-Captive Victory
On February 1, Judge Patrick J. Urda continued the Tax Court trend of disallowing deductions for premiums paid to micro-captives in Swift v. Commissioner. Read More
IRS Wins 5th Micro-Captive Insurance Tax Court Case
The US Tax Court's latest 831(b) micro-captive decision in Keating determined that the arrangement did not constitute insurance. Read More
US Supreme Court Won't Hear Delaware Appeal in IRS Summons Case
The US Supreme Court has declined to consider the Delaware Department of Insurance's appeal of a federal appeals court ruling requiring the department to comply with an Internal Revenue Service (IRS) summons for information on two captive insurers domiciled in the state. Read More
Why Do Insurance Companies Discount Unpaid Loss Reserves?
Under federal tax law, insurance companies are allowed to take a current deduction for unpaid losses, which is an expense that is paid over time. Without the deduction for unpaid losses, the tax code would be exceedingly burdensome for insurance companies. Read More