U.S. IRS Announcement in Relation to Tax Treaty References to NAFTA in Light of its Pending Replacement by the USMCA

The U.S. IRS has published Announcement 2020-6 in relation to tax treaty references to the NAFTA in light of its pending replacement by the USMCA. The announcement provides the Treasury Department and IRS view on how to interpret references in U.S. income tax treaties to the North American Free Trade Agreement (NAFTA) once it is replaced by the Agreement between the United States Canada and Mexico (the USMCA). The announcement provides that once the USMCA goes into force, the IRS and Treasur…