TEC initiatives.

• Author: Purcell, Thomas J., III
• Position: DC Currents

As a senior technical committee of the AICPA, the Tax Executive Committee (TEC) is authorized to speak for it on tax matters, and is also designated by governing Council as a standard-setting body. However, numerous other committees, technical resource panels (TRPs) and task forces initiate and develop proposed solutions to policy issues and technical and tax administration problems, for the TEC's consideration and approval.They also initiate proposals for products and services that add value for members in tax practice.

Since the last cut-off date for this column (June 9, 2003; see Purcell, "TEC Initiatives," TTA, August 2003, p. 497), the TEC met once (Aug. 21-22, 2003) and exercised its review function on several projects. TEC actions taken after Sept. 15, 2003 will be reported in a future column.

Tax Division Administrative Issues

The TEC modified strategies and tactics and adopted a proposed strategic plan for the Tax Division (as discussed by the TEC at its June 2003 meeting). The final plan will be discussed within the AICPA and shared with the membership over the next few months.

Self-Governance Activities

At its August 2003 meeting, the TEC discussed the comments received on the exposure draft of Statements on Standards for Tax Services Interpretation 1-2, Tax Planning. The draft can be found at www.aicpa.org/members/div/tax/sstsint.asp. After reviewing the public comments, the TEC modified Interpretation 1-2 and approved it as amended.

Technical Activities

Tax practice: The TEC, in conjunction with several other groups, sent a letter on July 9, 2003 to members of the Senate Finance Committee, expressing concern with the provision in HR 1528, the Taxpayer Protection and IRS Accountability Act of 2003, that would change the due date for electronically filed returns to April 30.The letter reiterated the AICPA's support for electronic filing, but indicated that the proposed due date would (1) cause taxpayer confusion, (2) not solve the need for extensions for electronic filers and (3) not address state compliance and estimated tax problems.

Tax shelters: In a letter dated Aug. 7, 2003, the TEC responded to the Treasury's request for further comments on the confidential transactions category contained in TD 9046, the final regulations involving disclosure (Sec. 6011), registration (Sec. 6111) and list maintenance (See. 6112) for reportable transactions.The comments, prepared by the IRS Practice and Procedures Committee (chaired by Jim...