Developments In Environmental Enforcement Since TCJA

By Peter Condron, Monty Cooper and Teresa Abney (July 24, 2018, 7:39 PM EDT) -- The 2017 Tax Cuts and Jobs Act has made it more difficult for companies facing environmental enforcement to deduct payments to the government. The TCJA imposes new hurdles on companies seeking to deduct those payments and for certain eligible payments — e.g., property-remediation expenses or compliance costs — requires that specific language be included in settlements and court orders for those payments to be deductible. The Internal Revenue Service is in the process of drafting regulations instructing taxpayers and governmental agencies on how to comply with the new identification requirement....

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