United States Tax News
Australian treatment of shipping and aircraft leasing profits of UK and US enterprises
11 July 2006
ATO denies interest withholding tax exemption to a US pension fund
11 July 2006
Proposed regulations issued for determination of earnings and profits attributable to stock of CFCs under IRC Sec. 1248
11 July 2006
Australian Taxation Office denies interest withholding tax exemption to US financial institution
11 July 2006
Thin capitalization rules not applicable to interest paid by Italian PE to US head office; deductibility of interest expense under transfer pricing rules analyzed
11 July 2006
US Treasury Department announces signing of protocol to US-Finland income tax treaty
11 July 2006
Protocol to treaty between US and Denmark signed
14 June 2006
IRS issues notices with guidance for income from international shipping and air operations
14 June 2006
Treaty between Australia and US – ATO explains its understanding of LoB article
14 June 2006
IRS releases list of qualified investment banks under MoU defining investment bank for interest withholding under 2003 Japan-US treaty
14 May 2006
US Senate ratifies protocols to income and capital, and estate, inheritance and gift, tax treaties between France and US
14 May 2006
Availability of US dependent territories' tax information to Australian tax authorities
14 May 2006
US Senate ratifies protocol to treaty between Sweden and US
14 May 2006
Status of Irish common contractual funds under the Ireland-US tax treaty
9 April 2006
US and Spain enter mutual agreement on treatment of LLCs, disregarded entities, and Sub-S corporations under treaty and protocol
9 April 2006
US Foreign Relations Committee approves protocols to income and capital, and estate, inheritance and gift, tax treaties between France and US
9 April 2006
Ruling on taxability of non-residents with captive BPOs
9 April 2006
US Foreign Relations Committee approves protocol to treaty between Sweden and US
9 April 2006
US Senate hearings on protocol to treaty between Sweden and US
16 March 2006
Treaty negotiations – update
16 March 2006
US
16 March 2006
Final regulations issued on classification of business entities organized in multiple jurisdictions
16 March 2006
US and Mexico sign revised mutual agreement on eligibility of fiscally transparent entities to claim treaty benefits
19 February 2006
The Competent Authorities of the United States and Japan have signed a memorandum of understanding (MOU) defining the term "investment bank" for purposes of Art. 11 (Interest) of the 2003 income tax treaty between the two countries. The definition is relevant for determining eligibility for zero-rate withholding for interest payments under Art. 11(3)(c)(i) of the 003 Japan-US Treaty. The MOU was signed on 27 December 2005 and released by the US Internal Revenue Service (IRS) on 28 December 2005.
19 February 2006
The Competent Authorities of Canada and the United States have signed a memorandum of understanding (MOU) setting out the principles, guidelines and procedures to be followed in resolving factual disagreements in mutual agreement cases under the 1980 US-Canada income tax treaty. The MOU was signed on 23 December 2005 and follows the MOU signed on 3 June 2005 that formalized the mutual agreement procedure (MAP) for resolving cases of double taxation under the treaty. It also follows the announcement by the US Internal Revenue Service (IRS) and the Canada Revenue Agency (CRA) on 8 December 2005 that they had reached agreement on procedures for resolving factual disputes in the MAP process.
19 February 2006
US Court
19 February 2006
IRS updates procedure for APAs in transfer pricing cases
19 February 2006
Indian ruling that US pension fund does not qualify for treaty benefits
19 February 2006
Following a reduction in withholding tax rates in the 2001 protocol to the Australia-US tax treaty, Australia is required under the most-favoured-nation clause in its existing treaty with Korea (Rep.) to renegotiate the 1982 Australia-Korea (Rep.) treaty.
19 February 2006
The US Tax Court has disallowed a deduction for a contribution to a French pension plan and payment of French real estate taxes. Isabelle Bichindaritz v. Commissioner of Internal Revenue (T.C. Memo 2005-298 dated 29 December 2005). The case involved a French citizen who was teaching at a US university. She claimed a deduction on her US tax return for a contribution to a French pension plan and also a deduction for the payment of French real estate taxes.
19 February 2006