By:  Amanda Wilson

As previously discussed (here), the IRS and Treasury identified in July eight Obama era tax regulations that are burdensome on taxpayers.  In early October, Treasury announced that it proposed to repeal or revise these regulations.  It has now taken its first concrete step in doing so, by withdrawing the Section 2704 proposed regulations released last year.  These proposed regulations limited the availability of the lack of liquidity discount when valuing interests in family controlled corporations and partnerships for estate, gift, and generation skipping tax purposes.  This proposed regulation was very unpopular among tax practitioners and its withdrawal is viewed as a positive change.