Several of the new or amended provisions in the Tax Cuts and Jobs Act (Tax Act) directly affect private investment funds and their managers, and over the past year, the U.S. Internal Revenue Service has issued certain regulations and clarifications of which private investment funds and their managers should be aware. In a two-part guest series, Michele Gibbs Itri, partner at Tannenbaum Helpern Syracuse & Hirschtritt, provides a brief overview of the key provisions of the Tax Act affecting hedge funds; private equity funds and their respective portfolio companies; and private fund managers, as well as updates on these provisions since the enactment of the Tax Act, including a discussion of possible tax structuring strategies and other considerations going forward for investment managers and their funds. This second article explores the effect of the elimination of miscellaneous itemized deductions; the disallowance of deduction for excess business losses; changes to net operating loss deductions; the tax treatment of gain or loss realized on the sale of a partnership interest by a foreign partner; and modifications to the controlled foreign corporation regime and other international tax rules. The first article addressed the Tax Act’s impact on carried interest earned by fund managers, the self-employment tax and corporate versus pass-through structures, as well as the new limitation on the deduction of business interest. For more on the Tax Act, see “How the Tax Cuts and Jobs Act Will Affect Private Fund Managers and Investors” (Feb. 22, 2018). For further commentary from Itri, see “How Private Fund Managers Can Navigate the Hazards of State Income-Sourcing Rules” (Jul. 13, 2017).