The Consumer Financial Protection Bureau’s (“CFPB”) TILA-RESPA Integrated Disclosure Rule, commonly known as “TRID,” is finally scheduled to take effect on October 3, 2015. The TRID rules were issued in November 2013 and amended portions of Parts 1024 and 1026 of Title 12 of the Code of Federal Regulations. Implementation was originally scheduled for August 1, 2015, but was pushed back by the CFPB. The new TRID rules will apply to loan applications for most closed-end consumer mortgages received on or after October 3, 2015.
In Internal Revenue Service ("IRS") Chief Counsel Advice #201537022, the IRS has determined that amounts advanced by a real estate developer to special municipal districts for the construction of infrastructure for the developer's real estate project should be treated as costs of developing the project even though the amounts advanced were structured as loans through bonds or other debt instruments. As a result, the tax bases of lots held for sale by the developer would include allocable shares of such costs.
Significant changes to the due dates of federal tax returns for certain business entities have been made. As part of the “Surface Transportation And Veterans Health Care Choice Improvement Act Of 2015” signed into law by President Obama on July 31, 2015, effective for tax returns to be filed for tax years beginning after December 31, 2015, the due date for partnership income tax returns, which would include limited liability companies being taxed as partnerships, has been moved up to 2-1/2 months after the close of the tax year from 3-1/2 months.
Significant amendments to California’s Healthy Workplaces, Healthy Families Act of 2014 (also known as the California Paid Sick Leave Law) went into effect immediately upon Governor Jerry Brown’s signature on Assembly Bill no. 304 on July 13, 2015. Here are some of the important amendments:
Rate of Pay Calculation
On July 1, 2015, the recent amendments to the California Family Rights Act (“CFRA”) regulations went into effect. Employers who are covered by the CFRA should be aware of these changes as they will impact how they handle family and medical leave for employees under California law.
Here are a few of the important changes:
A mid-sized trucking company out of Bakersfield, Randy’s Trucking, has agreed to pay nearly $525,000 to California for violating several diesel truck regulations. One regulation, the Truck and Bus Rule, requires yearly turnover of fleets through engine retrofits or replacements. By 2023, the regulation will ensure that all trucks operating on California roads will be equipped with a model year engine 2010 or newer. The regulation was first adopted in 2008 at the pinnacle of the recession and its standards continue to cause financial hardship for the trucking industry even as the economy
Starting July 1, 2015, most California employers will be required to provide paid sick leave to their employees under the Healthy Workplace Health Family Act of 2014 (AB 1422) (“Paid Sick Leave Law”). Under the Paid Sick Leave Law, an employee who, on or after July 1, 2015, works in California for 30 or more days within a year from the beginning of employment, is entitled to paid sick leave. Employees, including part-time and temporary employees, must earn at least one hour of paid leave for every 30 hours worked.
Mortgage lenders should be preparing to implement the Consumer Financial Protection Bureau’s (“CFPB”) TILA-RESPA Integrated Disclosure (“TRID”) Rule, which is scheduled to take effect on August 1, 2015 and applies to most closed-end consumer mortgages. Issued in November 2013, the TRID Rule amends portions of Parts 1024 and 1026 of Title 12 of the Code of Federal Regulations.
On April 1, 2015, Governor Jerry Brown issued Executive Order B-29-15 imposing, for the first time in California history, mandatory water use restrictions aimed at achieving a statewide 25 percent reduction in potable urban water use compared with 2013 levels. The Order directs the State Water Resources Control Board (“State Water Board”) to develop, impose and enforce the mandatory water reduction measures against the more than 3,000 urban water providers throughout California. The State Water Board is expected to impose the new restrictions by mid-May 2015, establishing a different targ
Effective for 2014, taxpayers who exchange real property located in California for like-kind properties located outside of California in a tax-deferred like-kind exchange will need to file an annual information return with the State of California. A new California tax form, Franchise Tax Board ("FTB") Form 3840, California Like-Kind Exchanges, will be utilized to report the exchange and a separate FTB Form 3840 is required for each exchange completed.