New guidance for split-dollar life insurance. (IRS News).

The March/April 2001 issue of California CPA, Page 6, discussed IRS Notice 2001-10, which provided guidance for split-dollar life insurance arrangements between employers and employees. Notice 2002-8 revokes Notice 2001-10 and:

* Announces the IRS' intention to propose regulations providing comprehensive guidance regarding the federal tax treatment of split-dollar life insurance arrangements;

* Outlines rules expected to be included in these forthcoming proposals and their expected effective dates; and

* Provides guidance regarding the valuation of current life insurance protection under split-dollar life insurance arrangements, qualified retirement plans and employee annuity contracts.