House Republicans Introduce Continuing Resolution: House Republicans introduced H.J.Res. 125, which would continue federal appropriations through February 16, 2018, avoiding a shutdown of the federal government. The resolution would further delay the Affordable Care Act’s medical device excise tax (relief from aspects of this tax is discussed below), the “Cadillac” tax on high cost employer-sponsored health coverage, and the annual fee on health insurance providers. In addition, the resolution would extend funding for the Children’s Health Insurance Program or CHIP program through September 30, 2023. Other extensions of expired tax provisions, such as those relating to certain energy tax credits, are not included in the resolution.

Miscellaneous Guidance:

Notice 2018-10 provides guidance relating to the medical device excise tax. Specifically, this notice provides relief, for the first three calendar quarters of 2018, to medical device manufacturers, producers and importers from the failure to deposit penalties imposed by § 6656, provided the taxpayer meets certain requirements.

Revenue Ruling 2018-5 provides various prescribed rates for federal income tax purposes including the applicable federal interest rates, the adjusted applicable federal interest rates, the adjusted federal long-term rate, and the adjusted federal long-term tax-exempt rate.