IRS guidance for reporting certain payments made to or for financially distressed homeowners

The IRS today released an advance copy of Rev. Proc. 2011-55 which sets forth guidance for state housing finance agencies and the Department of Housing and Urban Development (HUD) to follow in submitting information reporting statements for payments made to, or on behalf of, financially distressed homeowners pursuant to Notice 2011-14.

The IRS issued Notice 2011-14 in February 2011 as guidance on information reporting requirements for payments made to or on behalf of financially distressed homeowners under two federal programs. See TaxNewsFlash 2011-88.

Rev. Proc. 2011-55 modifies Notice 2011-14:

• To specify which IRS office the state housing finance agencies and HUD are to send the statements required under Notice 2011-14
• To provide that the state housing finance agencies and HUD may use Form 1098-MA, Mortgage Assistance Payments, as the form to satisfy the reporting requirements under Notice 2011-14

For an electronic version of today’s revenue procedure:
Rev. Proc. 2011-55

Rev. Proc. 2011-55 will appear in a future edition of the Internal Revenue Bulletin.

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