To all of our readers, Belated Happy New Year! We will ring in 2022 with some belated news. Back in November of 2021, the IRS once again issued a memorandum that extends the ability to use an electronic or digital signature on Form 8038 (Tax-Exempt Private Activity Bond Issues), Form 8038-G (Tax-Exempt Governmental Obligations) and Form 8038-GC (Small Tax-Exempt Governmental Obligations). This current extension will remain in effect until October 31, 2023. (I have no idea why Halloween (of 2023) was selected as the deadline, but it should be easy to remember!). In additional good news, when announcing this most recent extension on its website, the IRS stated that it is considering further extensions, but needs to balance the convenience of electronic signatures against the possibility of identity theft and fraud. This enquiring mind is curious as to who is filing fraudulent Forms 8038, and what benefit are they getting by doing so?
In more current news, an updated Form 8038-CP just came out. Form 8038-CP is used to claim refundable tax credit payments by issuers of build America bonds, recovery zone economic development bonds, and specified tax credit bonds. In addition to other changes, the revised form now has a Schedule A that is required to be filled out for new clean renewable energy bonds (NCREBs), qualified energy conservation bonds (QECBs), qualified zone academy bonds (QZABs), and qualified school construction bonds (QSCBs).
Finally, in futuristic news, the IRS plans to update Form 8038 so that the new types of projects authorized by the Infrastructure Investment and Jobs Act (i.e., qualified broadband projects and qualified carbon dioxide capture facilities) are reflected on the form.