Treasury and IRS Release Final Regulations under Section 245A and Section 951A Anti-Abuse Rules
Posted on Nov 20, 2020 in International Tax
On November 20, the Department of the Treasury and the Internal Revenue Service released final regulations under sections 245A and 951A. The rules coordinate two anti-abuse rules directed at certain transactions that occurred in 2018 between related controlled foreign corporations. The guidance generally finalizes proposed regulations issued in August 2020, except that the final...
Treasury and IRS Release Final and Proposed Regulations under Section 245A
Posted on Aug 21, 2020 in International Tax
On August 21, the Department of the Treasury and the Internal Revenue Service released proposed and final regulations under section 245A. Section 245A allows a 100% deduction to a corporate US shareholder for the foreign-source portion of dividends received from a specified 10% owned foreign corporation (SFC). The final regulations limit the deduction for certain dividends received by...
IRS Issues Final and Proposed Regulations with Respect to the GILTI and Subpart F High-Tax Exclusions
Posted on Jul 20, 2020 in International Tax
On July 20, the IRS released final regulations that allow taxpayers to elect out of the global intangible low-taxed income (GILTI) provisions if the income is subject to a rate of at least 18.9% in a foreign country. Proposed regulations were also released that generally would revise the subpart F high-tax exception to be consistent with the provisions of the GILTI high-tax exception....
OMB Begins Review of Final Regulations Regarding the GILTI High-Tax Exclusion
Posted on Jun 17, 2020 in International Tax, Uncategorized
On June 16, Treasury submitted final regulations with respect to the proposed high-tax exclusion for global intangible low-taxed income (GILTI) under section 951A, as well as proposed regulations under section 954(b)(4) relating to high-taxed subpart F income, to the Office of Management and Budget (OMB) for review. Among other items, the proposed version of the regulations offered...
Treasury Releases Final and Proposed GILTI Regulations and Temporary Section 245A Regulations
On June 14, Treasury and the IRS (the Service) released final and proposed regulations on the new global intangible low-taxed income provisions, or GILTI, that were introduced under the Tax Cuts and Jobs Act. Along with finalizing regulations related to determining a US shareholder’s GILTI inclusion and their pro rata share of a CFC’s subpart F income, the regulations also address the...