From Guidewire <[email protected]>
Subject A-2023-07: Federal tax treatment of certain Red Hill Fuel spill payments
Date April 5, 2023 4:13 PM
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IRS GuideWire April 5, 2023

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*Issue Number:*? ? A-2023-07

*Inside This Issue*
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Announcement 2023-07 [ [link removed] ] provides guidance on relief payments made to certain civilians affected by the release of petroleum from the Red Hill Bulk Fuel Storage Facility on O?ahu, Hawaii. Starting in 2022, the Department of Defense made payments to affected federal civilian employees and other civilians who are not employed by the federal government for reimbursement of lodging, meals and personal property damage expenses related to the Red Hill fuel spill. Announcement 2023-07 informs these affected individuals who received payments from DOD in connection with the Red Hill fuel spill that those payments are excludable from gross income for federal income tax purposes.

Announcement 2023-07 will be in IRB-2023-17, dated April 24, 2023.

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