International Tax

Topics

September 1, 2018

IRS gives taxpayers penalty and late-election relief for Sec. 965 transition tax

The IRS announced relief from late-payment penalties and that it will allow late elections for taxpayers subject to the new Sec. 965 transition tax on deemed repatriated foreign earnings.

August 2, 2018

Foreign-derived intangible income deduction: Tax reform’s overlooked new benefit for U.S. corporate exporters

One new opportunity created by the TCJA is the foreign-derived intangible income deduction in Sec. 250(a).

August 1, 2018

Proposed regs. address several transition tax issues

The IRS issued proposed regulations on the Sec. 965 transition tax that requires U.S. shareholders of deferred foreign income corporations to pay tax on post-1986 deferred income.

August 1, 2018

The carrot-and-stick approach to on-shoring intangible value

This item discusses provisions of the TCJA that seek to curb the erosion of the U.S. tax base.

July 1, 2018

Amended Sec. 965 may provide a Sec. 382 benefit: Deemed repatriation and RBIG

This item explores whether the toll charge might
be treated as a recognized built-in gain under Sec. 382(h).

July 1, 2018

Tax reform legislation narrows insurance PFIC exception

A change to the Code limits the ability of shareholders of certain foreign insurance companies to avoid being subject to antideferral rules that apply to passive foreign investment companies.

July 1, 2018

New Sec. 960 ‘properly attributable to’ standard raises questions for Sec. 956 inclusions

Determining how to “properly attribute” a foreign
income tax to an income inclusion is unclear, particularly with respect to Sec. 956 inclusions.

July 1, 2018

‘Toll charge’ guidance may trigger capital gain on PTI distributions

This item discusses uncertainties regarding the
consequences of a midyear distribution
of PTI by a CFC.

July 1, 2018

Sec. 263A considerations when determining cost of goods sold excludable from BEAT

Appropriately capitalizable costs under Sec. 263A generally are not considered base-erosion payments
for purposes of the BEAT.

June 28, 2018

Failure to abandon U.S. residency leads to tax liability

A German citizen’s failure to establish that he was a resident of Germany meant he was a “covered expatriate” liable for tax on stock sale gains.

June 5, 2018

Sec. 965 transition tax penalty relief issued

The IRS announced relief from late-payment penalties and that it will allow late elections for taxpayers subject to the new Sec. 965 transition tax on deemed repatriated foreign earnings.

June 1, 2018

The new GILTI and repatriation taxes: Issues for flowthroughs

In many instances, the new repatriation tax will produce harsh results for flowthrough taxpayers.

May 1, 2018

Which taxpayers are potentially subject to the new ‘BEAT’?

Imposition of a base-erosion and anti-avoidance tax adds fresh complexity to the calculation of transfer-pricing tax and accounting results.

May 1, 2018

Sec. 267A: Certain related-party amounts paid or accrued in hybrid transactions or with hybrid entities

It appears that Sec. 267A allows a taxpayer to deduct a disqualified related-party amount if the amount is not paid pursuant to a hybrid transaction or paid by or to a hybrid entity.

April 26, 2018

The Offshore Voluntary Disclosure Program and cryptocurrency

The IRS is ending the Offshore Voluntary Disclosure Program just as its enforcement of cryptocurrency compliance increases.

April 1, 2018

Filing deadline for 2017 FBARs same as for individual tax returns

FinCEN issued its annual reminder of the due date for filing FinCEN Form 114, Report of Foreign Bank and Financial Accounts.

March 14, 2018

Offshore Voluntary Disclosure Program to end in September

The IRS announced that it is closing the 2014 Offshore Voluntary Disclosure Program (OVDP) on Sept. 28, 2018.

March 8, 2018

The physical presence test for excluding foreign earned income

Under Sec. 911, a U.S. citizen whose tax home is in one or more foreign countries, who spends enough there, can exclude a certain amount of foreign earned income.

March 1, 2018