2023

Mindy Herzfeld examines the increasing complexities that multinational corporate taxpayers face in light of the recently released proposed corporate alternative minimum tax regulations, including the significant differences between accounting and income tax treatment of income.

Margrethe Vestager, executive vice president of the European Commission and commissioner for competition, told members of the European Parliament that the global community should keep working on pillar 1 and on an alternative.

Reuven S. Avi-Yonah explains the relationships between Chinese tax policy, pillar 2, and global multinational enterprises.

American groups and lawmakers are rallying behind a legal challenge filed in Belgium’s Constitutional Court against the undertaxed profits rule, but it could be a while before a decision is rendered — and success isn’t guaranteed.

Paul Poliakov explains how resolving double taxation and other inefficiencies of the U.S. domestic law regime for taxing foreign corporations could improve Taiwan-U.S. business relations.

Kartikeya Singh, Anthony Tufo, Shubhana Sattar, and Marco Fiaccadori explain the OECD inclusive framework’s amount B and the large effect it is likely to have on transfer pricing. They analyze the ways in which multinational enterprises can prepare for the various iterations that could arise as jurisdictions choose how to react to amount B.

David Farhat, Mayowa Olujohungbe, and Bryan McGrane explain why tax authorities can and should expediently address base erosion and antiabuse tax liability that may arise from taxpayers’ use of the advance pricing and mutual agreement program.

The Irish Department of Finance has issued draft legislation calling for amendments to existing laws to implement the OECD amount B political commitment and incorporate further global anti-base-erosion administrative guidance.

Final rules on the termination of income inclusions for repatriated intangible property track closely to proposed regs, with the drafters declining significant expansion over administrability and scope concerns and refusing to make the rules retroactive.

Anne Gordon explains why overzealous reporting legislation will negatively affect Australia’s international business relationships.

Jason Yen and Bona Chung provide examples that highlight the complexities of analyzing IP transactions under pillar 2 and explore questions that require further guidance.

India continues to deliberate on adopting the OECD’s 15% global minimum tax—also known as Pillar Two, a senior tax official said Thursday.

The OECD should allow a carve-out in the global minimum tax rules for mobile, tangible assets like ships and airplanes, according to an industry group representing cruise lines.

Portugal is planning to turn itself into a low-tax haven for young adults by offering a decade of tax breaks to people starting their careers in an effort to halt a growing brain drain.

Donald Trump has said he will end “double taxation” for millions of Americans living overseas if he wins the US presidential election next month.

Business groups and associations have responded forcefully in comments criticizing Treasury’s disregarded payment loss regs, arguing that the government lacks authority to issue the rules, as the Supreme Court made clear in Loper Bright.

The Swiss government expressed resistance to using financial transaction taxes to finance the country’s old age pension system.

Proposed corporate alternative minimum tax regs’ provisions pertaining to foreign-parented multinational groups, which have caught some tax experts by surprise, were drafted to ensure parity between foreign and domestic entities, according to Treasury.

Robert Goulder comments on the European Commission’s reinvigorated state aid case against the Netherlands and Ikea.

Mindy Herzfeld examines the saga of European state aid cases and the costs of the Court of Justice’s recent decision in European Commission v. Ireland for the U.S. government — and its taxpayers.

The EU Council legal service recently warned member states that the draft transfer pricing directive is getting in the way of an agreement on a nonbinding joint transfer pricing forum.

Brazilian President Luiz Inácio Lula da Silva has issued a provisional measure providing for a domestic minimum tax intended to be qualified as in line with the OECD’s global anti-base-erosion rules.

Hafiz Choudhury outlines the progress of draft Article XX on fees for services within the U.N. model tax convention’s evolution away from reliance on physical presence.

The European Union said negotiations for a new corporate tax treaty at the United Nations were potentially duplicating those taking place at the Organization for Economic Development and Cooperation in Paris.

As the OECD continues to promote Pillar Two, balancing the goal of fostering tax fairness with the need to avoid excessive compliance burdens is a challenge.

Rachel Reeves, the UK chancellor, is not expected to hit private equity bosses with the top 45p tax rate in this month’s Budget, as she looks for a compromise deal to close tax “loopholes” that does not drive investors out of Britain.

The European Commission is acting on a complaint by foreign-controlled companies operating in Hungary that the country's discriminatory retail tax regime puts them in a much higher tax bracket than domestic retail franchises operating there.

The European Commission has referred Cyprus, Poland, Portugal, and Spain to the EU’s highest court after warning them twice about their slow adoption of the EU’s directive for implementing global minimum tax rules.

EU member states have agreed to impose tariffs of up to 45 per cent on imports of Chinese electric vehicles, ratcheting up the biggest trade dispute between the economic superpowers in a decade.

Ten years of case law involving the EU banking union show that the EU has legal grounds to levy a contribution on companies in exchange for services, according to a European Parliament study.

Fabian Kratzlmeier argues that pillar 2’s group approach disregards the interests of creditors and minority shareholders, and he explores how long-standing concepts of civil, corporate, and bankruptcy law could be used to protect those interests within the global anti-base-erosion framework.

Ryan Finley explains why the EU member states may want to reconsider their objections to a transfer pricing directive after European Commission v. Ireland.

Christine Lagarde, president of the European Central Bank, said an EU capital markets union could be achieved through a 28th regulatory regime, including on taxation.

The U.S. Chamber of Commerce has expressed strong support for another American business group’s legal challenge against the undertaxed profits rule in the Belgian Constitutional Court, saying the measure is “fundamentally flawed.”

Jeffery M. Kadet responds to a recent article on reforms to the subpart F and global intangible low-taxed income regimes, commending the authors’ efforts but arguing that their proposals should be carefully considered, given whom they would benefit.

The OECD has published guidance for tax administrations on exchanging information on crypto assets. The document, dated Oct. 2, features a user guide for the XML schema used in the automatic exchange of information under the Crypto-Asset Reporting Framework, or CARF.

EU member states’ ambassadors are ready to adopt an official position on the future of the U.N. tax negotiations that urges more analysis and consensus-based decision-making.

Robert Goulder examines the European Commission’s state aid case against Nike in light of the recent Apple judgment.

J. Clifton Fleming Jr., Robert J. Peroni, and Stephen E. Shay explain how the subpart F regime and the global intangible low-taxed income regime together contribute to a long-running decline in domestic manufacturing employment, and they argue that the best approach to fixing the problem is worldwide taxation without deferral, not pillar 2.

Notice 2024-16 announces the government’s intent to issue regs to provide an adjustment to a domestic acquiring corporation’s basis of acquired CFC stock for covered inbound transactions. Laura E. Williams, Jennifer Franceschini, and Raza Janjua of PwC explain how the narrow definition of covered inbound transactions and the limitations outlined in Notice 2024-16 may leave taxpayers exposed to double taxation in many situations, and argue that future regulations should provide for expanded relief.

Ireland revealed plans Tuesday to extend a range of tax benefits to attract risk finance into the country as part of a pre-election budget. The Department of Finance is proposing to extend the Relief for Investment in Corporate Trades benefits by two years, a budget document outlining tax measures said, putting them into effect until Dec. 31, 2025.

David G. Chamberlain responds to Lee A. Sheppard’s analysis of the EU Court of Justice’s ruling in the Apple state aid case and argues that the Court’s ruling was correct.

Argentina’s economic reform law has significant tax implications for various industries. The law, issued by decree on Aug. 22, includes a large investments incentive system known as RIGI. A key feature of the measure is a stability provision for a 30-year period, encompassing tax, customs, legal, and regulatory incentives.

Corporate income tax rates across the world stabilized in 2023 after years of decline, according to a new report from the OECD summarizing international taxation trends.

The French government is weighing fresh taxes on corporates to cut the country’s budget deficit, newspaper Le Monde reported.

Thomas Horst explains and illustrates his evaluation of the effect of the OECD/G20’s pillar 2 minimum tax rules on U.S. multinational enterprises and on U.S. federal tax revenue.

The former president’s efforts to compel companies to remain in the United States had limited success while he was in the White House.

Ryan Finley explains why the Court of Justice was wrong to assume that its understanding of OECD transfer pricing and profit attribution guidance is the only reasonable interpretation.

Treasury is not overly concerned with practitioner worries stemming from a lack of carryforwards for direct foreign tax credits and book-to-tax income recognition timing differences under its corporate alternative minimum tax proposed regs.