On December 19, 2023, the U.S. Treasury Department announced that the U.S.-Chile Income Tax Treaty is now in force. The treaty provides for reduced withholding tax rates on interest, dividends, and royalties, as well as seeking to eliminate double taxation.

In anticipation of the broad, encompassing Corporate Transparency Act coming into effect in fiscal year 2024, virtually all new and existing entities conducting business in the United States must provide essential business and personnel information or face steep civil and criminal penalties.

The 2017 Tax Cuts and Jobs Act (TCJA) brought significant changes to the U.S. tax code, including the introduction of a new deduction called the Foreign-Derived Intangible Income (FDII) deduction. The aim of this deduction is to incentivize U.S. C corporations to promote exports and service foreign markets.

The Internal Revenue Service issued proposed regulations on April 17, 2023 for IRC Section 30D that detail the mandatory mineral and battery component requirements of the new clean vehicle credit and provide guidance on a few other critical areas for the credit. For the most part, the proposed regulations agree with previous IRS guidance. The majority of the regulations are proposed to affect new clean vehicles placed in service after April 17, 2023.

For taxpayers living and working abroad, it can be quite complicated trying to determine how to file taxes in not one but two tax jurisdictions. The penalties for failing to comply in the U.S. are astronomical. But the clock is ticking on ticking on getting into compliance. Not only does the IRS have additional funding and has recently hired 4,000 more agents but we have a new IRS commissioner. What does that mean for the existing amnesty programs for taxpayers who have either failed to report some of their foreign income or foreign assets? The clock is ticking…

The repeal of Roe vs. Wade is having all sorts of unintended consequences, even in the tax world. In an effort to conform Georgia’s abortion law to tax law, Georgia has changed the definition of a tax dependent to include any humans, including an unborn child. This will result in an additional Georgia tax deduction of $3,000 for each unborn child.

On August 7, 2022, the Senate passed the Inflation Reduction Act of 2022 (“IRA”), designed to reduce inflation and provide investments in clean energy. The bill has several key provisions, one of which is a new 15% corporate minimum tax on large corporations.