TheMIGroup Supports Worldwide ERC's Response to the IRs Coordinated Issue Paper on Home Sale Programs

The relocation industry, through its membership association Worldwide ERC has been seeking definitive guidance from the Internal Revenue Service (IRS) in regard to their position concerning the treatment of costs incurred by corporations in connection with home sale programs offered to relocating employees. 

On October 27, 2004, the IRS circulated an initial draft of a proposed "Coordinated Issue Paper" (CIP) within the IRS and to others outside the IRS for comments, including Worldwide ERC.   Worldwide ERC responded with a cover letter and comments to the IRS CIP. 

Worldwide ERC is the relocation industry membership association which includes over 12,000 individuals from client corporations and various industry service providers that address relocation-related workforce issues.  As a member of Worldwide ERC, TheMIGroup supports ERC's position on the IRS CIP.

The CIP seeks to articulate and standardize the IRS audit position by providing guidance to its field agents.  While the CIP reflects the present thinking of the IRS field organization, it should not be taken as an indication of the official position of the IRS National Office.  We recommend you consult your tax and/or legal advisor in regard to this and any other matters regarding your home sale program.