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International Tax Blog - New and Interesting International Tax Issues


International PLRs for the 41st week of 2013

2013-10-31

Last week the IRS published the following Private Letter Rulings relating to international taxation.

PLR 201341004 - Code §355 spin-offs and reorganizations involving U.S. and foreign corporations.  Code §368(a)(1)(D).

PLR 201341007 - Late entity classification election for a foreign entity to be treated as a disregarded entity.  Form 8832. Treas. Reg. §301.7701-3(c).

PLR 201341013 - Code §355 spin-offs and reorganizations involving U.S. and foreign corporations.  Code §368(a)(1)(D).

PLR 201341024 - Late entity classification election for a foreign entity to be treated as a disregarded entity.  Form 8832. Treas. Reg. §301.7701-3(c).

PLR 201341031 - U.S. electric utlity company servicing foreign country may deduct under Code §162(a) incentives paid to customers to install renewable energy systems.

PLR 201341032 - Restructuring of U.S. real estate investment trust ("REIT") that holds properties in a foreign country.  Code §856(c). 

Tags: 355 Spin-Offs, 368 Corporate Reorgs, 856 REITs, 6048 Foreign Trusts, 7701-3 Check-the-Box Elections, Authority - PLRs / CCAs, Form 8832

International PLRs for the 16th week of 2013

2013-08-21

For the 16th week of 2013, the IRS published the following Private Letter Ruling and Chief Counsel Advice relating to international taxation.

PLR 201316014 - Extension of time granted to a U.S. real estate investment trust with a foreign parent to amend a Code §565 consent dividend election.  Treas. Reg. §§ 301.9100-1 and -3.

CCA 201316017 - Re-registration of a foreign company as a Societas Europaeas treated as an F reorganization.  Code §368(a)(1)(F).

Tags: 368 Corporate Reorgs, 856 REITs, Authority - PLRs / CCAs

International PLRs of the 14th week of 2013

2013-08-19

For the 14th week of 2013, the IRS published the following Private Letter Rulings relating to international taxation.

PLR 201314001 - Code §355 spin-offs involving U.S. and foreign corporations that are directly or indirectly owned by a foreign parent company.  Code §368(a)(1)(D).

PLR 201314002 - A real estate investment trust’s (REIT’s) deemed inclusions as Subpart F Income under Code §951 and passive foreign investment company (“PFIC”) inclusions under Code §1293 are considered qualifying income under Code §856(c)(2).

PLR 201314003 - Reorganization of foreign corporations owned by a U.S. parent company.  Code §368(a)(1)(F).

PLR 201314005 - Application of the worthless stock deduction to a U.S. parent with foreign subsidiaries. Code §165(g)(3)(B).

PLR 201314010 - Late entity classification election for a foreign entity to be treated as a disregarded entity. Form 8832. Treas. Reg. §301.7701-3(c).

PLR 201314019 - Late Canadian registered retirement savings plan ("RRSP") deferral election.  Form 8891.  Rev. Proc. 2002-23.

PLR 201314026 - Late/retroactive passive foreign investment company ("PFIC") qualified electing fund ("QEF") election.  Form 8621.  Treas. Reg. §1.1295-3(f).

PLR 201314027 - Late Canadian registered retirement savings plan ("RRSP") deferral election.  Form 8891.  Rev. Proc. 2002-23.

PLR 201314037 - Late entity classification election for a foreign entity to be treated as a disregarded entity. Form 8832. Treas. Reg. §301.7701-3(c).

PLR 201314039 - Late entity classification election for a foreign entity to be treated as a disregarded entity. Form 8832. Treas. Reg. §301.7701-3(c).

Tags: 355 Spin-Offs, 856 REITs, 1291 PFICs, 7701-3 Check-the-Box Elections, Authority - PLRs / CCAs, Country - Canada, Form 8621, Form 8832, Form 8891

International PLRs & CCA’s of the 51st week of 2012

2012-12-27

Last week the IRS published the following Private Letter Rulings and Chief Counsel Advice relating to international taxation.

PLR 201251003: Shares of a domestic corporation were transferred to foreign corporation in order to deconsolidate the domestic corporation. Code §1502.

PLR 201251005: A real estate investment trust’s (REIT’s) deemed inclusions as Subpart F Income under Code §951 and passive foreign investment company (“PFIC”) inclusions under Code §1293 are considered qualifying income under Code §856(c)(2). In addition, currency gain or loss under Code §986(c) is also considered qualifying income under Code §856(c)(2).

CCA 201251012: “DOM,” a U.S. citizen who resides in the U.S. and operates a sporting event bookmaking business, contracts with a foreign corporation (“FOR”) to maintain betting information about DOM’s bettors. FOR’s participation in the arrangement is limited to data maintenance. DOM is accepting wagers and is liable for the Code §4401 excise tax on wagers.

CCA 201251015: Brief email indicating that a taxpayer would be eligible under Article 19 of a treaty for the $5,000 annual exclusion for a period of no more than 5 years.

The de-consolidation effected in PLR 201251003 can be graphically represented as below (for a PDF click here):

PLR 201251003

Tags: 856 REITs, 951 Subpart F Income, 1291 PFICs, Authority - PLRs / CCAs, Charts - Situational Charts, Other - Other