EMPLOYEE PLANS

Announcement 2015–13, page 908. This announcement explains the effect of H.R. 2591, which became Public Law 113–243. The announcement also explains how taxpayers should report the rollover of �airline payment amounts� into traditional IRAs.

T.D. 9716, page 863. Section 162(m) generally limits the otherwise allowable deduction for compensation paid with respect to a covered employee of a publicly held corporation to no more than $1,000,000 per year. These final regulations clarify that qualified performancebased compensation attributable to stock options and stock appreciation rights must specify the maximum number of shares with respect to which options or rights may be granted to each individual employee. These final regulations also clarify the application of the transition rule for taxpayers that are not publicly held corporations and then become publicly held corporations.