Group Urges Simpler Partnership Rules on Previously Taxed Income

The IRS and the Treasury Department should consider ways to simplify their approach to partnerships in their proposed regulations on previously taxed earnings and profits, a bar group said Monday.

In general, the proposed rules should adopt an “aggregate” approach to partnerships where possible rather than the entity-based approach they’ve used in some areas of the rules, the New York State Bar Association said in a report to the IRS and Treasury.

• The aggregate approach treats partnerships as aggregates of their partners, in which partners are deemed to own the partnership’s assets, as opposed to treating a partnership as its ...