August 2, 2020 U.S. Tax This Week for July 31 Ernst & Young's U.S. Tax This Week newsletter for the week ending July 31 is now available. Prepared by Ernst & Young's National Tax Department in Washington, D.C., this weekly update summarizes important news, cases, and other developments in U.S. taxation.
————————————————————————— Final and proposed Treasury regulations on the GILTI high-tax exclusion and subpart F income high-tax exception (August 3) Beyond the pandemic | Building a future proof payroll operation (August 12) ————————————————————————— Internal Revenue Service — Jul 30: New IRS proposed regulations provide simplified tax accounting rules for small businesses (Tax Alert 2020-1941) — Jul 30: IRS extends certain rehabilitation credit deadlines under IRC Section 47, due to COVID-19 (Tax Alert 2020-1931) — Jul 27: "Tested unit" standard in final GILTI regulations limits aggregating items of income, while proposed regulations would adopt the same standard for subpart F income high-tax exception (Tax Alert 2020-1912) — Jul 27: IRS to recover overpayment of COVID-19 employer tax credits as underpayment of employment tax (Tax Alert 2020-1907) — Jul 24: IRS issues temporary and proposed regulations on recapture of excess employment tax credits (Tax Alert 2020-1902) International — Jul 30: Brazil's proposed VAT on royalties and digital platforms/marketplace could affect technology, media & entertainment, and telecom sectors (Tax Alert 2020-1943) — Jul 30: Uruguayan tax authority adjusts certain formalities relating to documentation of activities of taxpayers who are totally or partially exempt from taxes (Tax Alert 2020-1942) — Jul 30: Panamanian Ministry of Commerce and Industries proposes creating special regime for manufacturing services (Tax Alert 2020-1937) — Jul 30: Ecuador requires certain taxpayers to pay estimated income taxes for fiscal-year 2020 (Tax Alert 2020-1935) — Jul 30: Luxembourg enacts deferral of MDR reporting deadlines for six months (Tax Alert 2020-1933) — Jul 30: Brazil's first phase of tax reform would increase the federal VAT tax rates for the insurance sector (Tax Alert 2020-1932) — Jul 29: Hong Kong enacts new legislation providing tax incentives for insurance-related businesses (Tax Alert 2020-1929) — Jul 29: Ghana extends relief measures in response to COVID-19 (Tax Alert 2020-1924) — Jul 29: Philippines requires transfer pricing information return (Tax Alert 2020-1922) — Jul 29: OECD issues report to G20 Finance Ministers and Central Bank Governors and hosts webcast to provide update on tax work (Tax Alert 2020-1921) — Jul 28: Kenya gazettes Double Taxation Avoidance Agreement with Mauritius (Tax Alert 2020-1920) — Jul 28: Saudi Arabian Tax Authority clarifies rules on capital gains (Tax Alert 2020-1919) — Jul 28: Oman's Majlis Al Shura approves VAT law (Tax Alert 2020-1918) — Jul 28: Suriname announces new and amended tax measures to mitigate impact of COVID-19 (Tax Alert 2020-1917) — Jul 27: New Swedish legislation requires equal treatment and protection of posted workers in Sweden (Tax Alert 2020-1911) — Jul 27: Saudi Arabian Tax Authority implements electronic filing of contract information (Tax Alert 2020-1910) — Jul 27: Italy's Constitutional Court confirms amendments limiting the power of tax authorities to recast Registration Tax treatment of corporate transactions (Tax Alert 2020-1909) — Jul 27: Ecuador modifies transfer pricing rules (Tax Alert 2020-1906) — Jul 24: Portugal publishes final legislation to implement Mandatory Disclosure Rules (Tax Alert 2020-1900) — Jul 24: High Court of Kenya suspends VAT on insurance agency and insurance brokerage services (Tax Alert 2020-1899) Legislation — Jul 31: What to Expect in Washington (July 31) (Tax Alert 2020-1949) — Jul 30: Senate-proposed HEALS Act contains income tax relief for teleworkers and short-term business travelers (Tax Alert 2020-1938) — Jul 28: Senate Republicans unveil coronavirus proposal (Tax Alert 2020-1914) — Jul 27: President issues series of Executive Orders aimed at lowering drug prices (Tax Alert 2020-1905) States — Jul 30: Puerto Rico's sales tax holiday for school uniforms and supplies will run from July 29 through August 1 (Tax Alert 2020-1940) — Jul 30: Oregon won't assert nexus for corporate excise and income tax for teleworkers in the state temporarily due to COIVD-19 (Tax Alert 2020-1939) — Jul 30: West Virginia are not charging employer UI accounts with COVID-19 UI benefits (Tax Alert 2020-1936) — Jul 29: California FTB holds fifth interested parties meeting to discuss next round of proposed amendments to its market-based sourcing rules (Tax Alert 2020-1926) — Jul 29: Tennessee won't charge employer accounts for COVID-19 UI benefits through July 31, 2020 (Tax Alert 2020-1925) — Jul 28: Pennsylvania hazard pay grants are taxable to employees but deductible to businesses (Tax Alert 2020-1916) — Jul 24: Maryland will not charge COVID-19 UI benefits to employer accounts (Tax Alert 2020-1898) ————————————————————————— State and Local Tax Weekly — California "split roll" property tax measure qualifies for November 2020 ballot. California Proposition 15 (formerly Ballot Measure 19-0008A1) has qualified to appear on the statewide general election ballot on Nov. 3, 2020. — Income/Franchise, Sales & Use, Business Incentives, Property Tax, Compliance & Reporting, Controversy, Payroll & Employment Tax, Global Trade ————————————————————————— Final Regulations
Proposed Regulations
Revenue Rulings
Notices
Because the matters covered herein are complicated, U.S. Tax This Week should not be regarded as offering a complete explanation and should not be used for making decisions. Any decision concerning matters covered herein should be reviewed with a qualified tax advisor. | |||||||||||||||||||