Treasury’s assistant secretary for tax policy, Ken Kies, said agency lawyers are working on the regulations needed to implement the new tax law. Soon to come out will be regs on overtime, tips, car loan interest, seniors, accelerated depreciation, and Trump savings accounts, he said.

Speaking on October 22 at a Council for Electronic Revenue Communication Advancement Conference, Kies said “We are very keenly focused on getting the guidance out,” despite furloughed workers and agency personnel working without pay for all of October and into mid-November. He noted that 45 lawyers were brought back to work on drafting guidance.

Kies said first out will be guidance on the tax/spending cuts reconciliation law’s provisions on tax-free tips and overtime and on the deductions for seniors and for interest paid on loans to purchase cars (and other vehicles) made in America. He said guidance on accelerated depreciation is expected to be released later this month (November), and that in the next few months there will be guidance on new tax-favored Trump savings accounts for children.

Prospects: Guidance is urgently needed for these new tax rules. Many are effective for the 2025 tax year and so rules on how they will be implemented are needed by the time taxpayers start working on their 2025 tax returns—for many, that will be in January or February 2026.

NAIFA Staff Contact: Jayne Fitzgerald – Director – Government Relations, at jfitzgerald@naifa.org.