IRS plans to close 'major' tax loophole used by wealthy Americans

The IRS and Treasury Department on Monday unveiled a plan to end a major tax loophole used by wealthy taxpayers, a move that could generate as much as $50 billion in revenue over the next decade.

The plan targets so-called "partnership basis shifting," a transaction that allows a business or person to operate through many different legal entities in order to take more deductions and minimize what they owe, according to Treasury.

"These tax shelters allow wealthy taxpayers to avoid...