A weekly summary of the top weekly tax news, trends
and developments in the Americas

     This week's tax news from the Americas

• United States | Changes to GILTI, FDII and BEAT, among others, included in final reconciliation legislation, but not previously proposed remedy for ‘unfair foreign taxes’
  H.R. 1, (known as the "One Big Beautiful Bill" or the Act), signed into law on July 4, 2025, changes the international provisions of the Code considerably and affects both outbound and inbound taxpayers. The Act modifies the regimes for foreign-derived intangible income and global intangible low-taxed income by modifying the effective tax rates, reducing expense apportionment, and eliminating the qualified business asset investment exclusions. The Act also permanently changes the base erosion and anti-abuse tax rate to 10.5%. The Act does not include proposed Section 899's remedies for "unfair foreign taxes."

• Canada announces surtax on steel imports, initiates short supply consultations, halts DST collection
  On 27 June 2025, Canada implemented a 50% surtax on imports of certain steel goods to address trade diversion risks, effective immediately, with the surtax set to apply until 26 June 2026, contingent on quarterly tariff rate quotas. Importers must obtain shipment-specific permits to declare steel imports under the tariff rate quotas to avoid the surtax, emphasizing the need for careful compliance and monitoring of import volumes. Canada also announced it will rescind its Digital Services Tax Act, halting the planned collection of the tax effective 30 June 2025, to facilitate broader trade negotiations with the United States (see Tax Alert 2025-1414 for details).

• Costa Rican Tax Administration publishes resolution implementing new digital platform - TRIBU-CR
  In Resolution No. MH–DGT–RES–0011–2025( issued 11 July 2025), Costa Rica’s Tax Authority announced that it will disable several digital tax platforms or systems and implement a new platform called TRIBU-CR. TRIBU-CR will be the only digital tax platform managing compliance obligations and communication between the Tax Administration and taxpayers and will be operational starting from 4 August 2025.

• Dominican Republic arrangement with US published on exchange of country-by-country reports
  Updates to the US Internal Revenue Service webpage, dated 1 July 2025, include the Dominican Republic-United States Competent Authority Arrangement on the Exchange of Country-by-Country Reports (Arrangement), facilitating compliance with international tax standards. The Arrangement aligns with the Dominican Republic's commitment to the OECD's Base Erosion and Profit Shifting (BEPS) Project, specifically implementing BEPS Action 13, which requires local and master file documentation alongside country-by-country reporting.

• Canada Border Services Agency issues July 2025 trade compliance verification list
  On 4 July 2025, the Canada Border Services Agency (CBSA) updated its trade compliance verification priorities list, focusing on tariff classification, valuation and origin to ensure adherence to Canadian trade laws.

• Canada Revenue Agency transitions to online mail for most business correspondence
  Effective 16 June 2025, the Canada Revenue Agency (CRA) made online mail the default method for business correspondence, impacting all new businesses and most existing businesses. Companies must ensure they have access to My Business Account to avoid potential delays in responding to CRA communications, as notices posted online will be deemed received on the posting date.

 
     This week's newsletters

• Report on recent US international tax developments - 18 July 2025
  Our weekly report with brief summaries of all the week's US international tax developments and related activity.
• State corporate income and franchise tax developments in the second quarter of 2025
  A summary of the significant legislative and administrative actions that affected US state and local income/franchise and other business taxes for the second quarter of 2025.
• The Latest on BEPS and Beyond | July 2025
  EY's monthly report with brief summaries of the latest activity in the OECD Base Erosion and Profit Shifting (BEPS) project as well as country-specific legislative and administrative activity, including global and regional policy trends related to the global focus on BEPS.
• State and Local Tax Weekly for June 6 and June 13
  This weekly update summarizes important news, cases, and other developments in U.S. state and local taxation.

 
     Upcoming EY webcasts

• 31 July: BorderCrossings… with EY transfer pricing and tax professionals - July 2025
• 7 August: One Big Beautiful Bill Act: What’s ahead for private equity, funds and portfolio companies
• 15 August: Tax in a time of transition: Legislative, economic, regulatory and IRS developments

A calendar of all upcoming EY webcasts is available.

 
     Recent EY podcasts

• EY Podcast | Weekly US international cross-border taxation news for week ending 18 July 2025
• EY talks tax | The final budget reconciliation bill - key tax provisions and business implications (9 July 2025)

All episodes of the EY Cross-Border Taxation Spotlight and
EY Talks Tax are available through Apple podcasts.

 
     This week's EY Global Tax Alerts

     Americas

• Colombia's administrative unit staff strike impacts immigration services
• Costa Rican Tax Administration publishes resolution implementing new digital platform - TRIBU-CR
• UN releases draft issues notes on the Framework Convention on International Tax Cooperation

     Asia

• Malaysia introduces changes to simplify immigration processes and increase enforcement to ensure compliance with regulatory requirements
• Vietnam passes new corporate income tax law

     Africa

• Algeria establishes reporting requirements for data on physical goods production
• Kenya enacts Finance Act, 2025
• Nigeria Immigration Service provides clarifications regarding upcoming immigration reforms and initiatives
• Uganda issues Tax Amendment Acts for 2025

     Europe

• Netherlands to propose measures to strengthen the knowledge migrant scheme
• Schengen border controls for July 2025 discussed

     Middle East

• Kuwait issues Executive Regulations to the Kuwait DMTT Law
• Saudi Arabia introduces new work permit classification system for foreign skilled talent

Additional resources

Comments. If you have any questions or suggestions about this newsletter, please email Tax News Update Help at: ustaxalertshelp@ey.com.

About Americas Tax Roundup

Published by NTD's Tax Technical Knowledge Services Group, Washington, D.C.
Jennifer Mannetta, writer and editor

Distributed weekly to all Americas Tax personnel.