TEI Submits Comments on Stock Repurchase Excise Tax Proposed Regulations
On June 11, 2024, TEI submitted comments on the proposed regulations on the stock repurchase excise tax. TEI requested clarification on the method for electing to apply the proposed regulations retroactively to issuances and repurchases that occurred after December 31, 2022, but before the publication of the proposed regulations.
Canadian Budget 2024 Expanded CRA Audit Powers - TEI Comments
On May 29th, 2024, TEI filed comments with Canadian Minister of Finance Chrystia Freeland regarding Budget 2024's proposed expanded Canada Revenue Agency audit powers. TEI's comments focused on the substantial negative impact the proposals would have on taxpayers generally and taxpayer rights specifically. TEI's letter included several recommendations on how the expanded powers proposals could be improved and lessen their impact on Canadian taxpayers. TEI's comments were prepared under the aegis of its Canadian Income Tax Committee, whose Chair is Steve Saunders of Atco. Benjamin R.
TEI Submits Comments on New GST/HST Joint Venture Election Rules
On March 15, 2024, TEI submitted comments on the new GST/HST joint venture ("JV") election rules to the Department of Finance in response to a request for comments in the November 21, 2023, Fall Economic Statement. TEI's comments addressed concerns that the proposed legislation is too restrictive, cumbersome and administratively burdensome. TEI requests that the JV election criteria focus on practicality and ease of administrability and compliance.
Foreign Tax Redeterminations under Section 905(c) - TEI Comments
On March 31, 2024, TEI submitted comments to the Internal Revenue Service (the "Service") regarding foreign tax redeterminations ("FTRs") under section 905(c). The post-TCJA final regulations resulted in a significant increase in the compliance burden on taxpayers with FTRs. TEI's letter recommended several methods to reduce this compliance burden as well as the administrative burden on the Service when auditing FTRs. TEI's comments were prepared under the aegis of its U.S. International Tax Committee, whose Chair is Ag Samoc. Benjamin R.
United Nations International Tax Cooperation Framework - TEI Comments
On March 15, 2024, TEI submitted comments to the United Nations regarding its Terms of Reference for a United Nations Framework Convention on International Tax Cooperation. TEI's comments focused on the need for clear and principle based international tax rules, avoiding double taxation, and delineation of how international tax rules interact with local rules in each jurisdiction, among other things. TEI's letter was prepared under the aegis of its EMEA Direct Tax Committee. Benjamin R. Shreck, TEI Tax Counsel, coordinated the preparation of TEI's comments.
Revised Australian Public CbC Reporting - TEI Comments
On March 5, 2024, TEI filed comments with the Australian Treasury regarding the Australian government's revised Exposure Draft proposing to require certain multinational corporations with operations in Australia to make public country-by-country reporting information. TEI's comments addressed the inconsistency of the data Australia would require to be published with other country-by-country data, the need for flexibility in how companies prepare the data to be published, and the need to protect competitively sensitive data, among other things.
Australian Software Royalty Characterization Ruling - TEI Comments
On March 1, 2024, TEI filed comments with the Australian Taxation Office regarding its new interpretation of the characterization of payments made for software and other intellectual property. TEI's commented on how this new interpretation was out of step with longstanding and internationally accepted tax rules, that the new interpretation was likely to lead to increases in tax disputes and incidences of double taxation, among other things. TEI's comments were developed under the aegis of its EMEA Direct and Asia Tax Committees. Benjamin R.
Notice 2023-80: DCLs and GloBE Interaction - TEI Comments
On February 9, 2024, TEI submitted comments to the Internal Revenue Service and U.S. Department of the Treasury regarding Notice 2023-80 (the "Notice"). The Notice provides interim guidance addressing the application of the foreign tax credit and dual consolidated loss ("DCL") rules to certain types of taxes described in the OECD Pillar Two Global Anti-Base Erosion ("GloBE") Model Rules.
Proposed Section 987 Regulations - TEI Comments
On February 12, 2024, TEI submitted comments regarding REG-132422-17 addressing recognition and deferral of section 987 gain or loss. TEI's comments included several simplifying recommendations to ease the compliance burden on taxpayers, a request to defer the effective date of any final regulations, and how to address suspended losses. Benjamin R. Shreck, TEI Tax Counsel, coordinated the preparation of TEI's comments.
EU BEFIT Initiative - TEI Comments
On January 22, 2024, TEI submitted to the European Commission regarding the Commission's proposed directive on Business in Europe: Framework for Income Taxation ("BEFIT"), which aims to simplify corporate income taxation among EU members states. TEI's comments focused on the interaction between BEFIT and the OECD's Pillar Two initiative, which may lead to unintended consequences, among other things. TEI's comments were prepared under the aegis of its EMEA Direct Tax Committee. TEI Tax Counsel, Benjamin R. Shreck, coordinated the drafting of TEI's comments.