Partnership compliance: Getting ready for tax year 2024

Prior to beginning preparations for tax year 2024, what important factors should you keep in mind to best prepare for a successful filing season? Amid regulatory changes, intricate reporting requirements for foreign investors and heightened documentation demands, the preparation checklist seems longer and less manageable than ever. Leveraging partnership tax compliance technology to address these key considerations and requirements can help mitigate risk and provide you with the automation necessary to meet stringent deadlines.

The repercussions for incorrectly planning for tax year 2024 could be significant. The IRS has indicated that the agency will target partnerships using artificial intelligence, with plans to increase audit rates by nearly tenfold on large, complex partnerships with assets over $10 million. Our panel of partnership tax advisors provide guidance on key considerations to best prepare for a smooth 2024 tax filing season.

Partnerships are facing a multitude of challenges this tax season, including new reporting requirements, increased information demands and heightened IRS enforcement. Key considerations for the tax year 2024 encompass utilizing estimates, documenting allocations, special considerations for lower-tier partnerships, and the impact of recent developments and updated forms. To prepare adequately, watch our recorded webinar and review the Partnership tax filing checklist 2024.