A summary of the top weekly tax developments in the Americas

     This week's tax news from the Americas

• US implements global 10% import tariff under Section 122 of the Trade Act of 1974
  Following the United States (US) Supreme Court's 20 February 2026 decision in Learning Resources Inc. et al. v. Trump, which held that the International Emergency Economic Powers Act (IEEPA) does not authorize the president to impose tariffs, the Trump Administration moved swiftly to utilize alternative statutory tools. Accordingly, late on 20 February 2026, the president issued a proclamation titled "Imposing a Temporary Import Surcharge to Address Fundamental International Payments Problems," establishing a temporary 10% ad valorem global import tariff under Section 122 of the Trade Act of 1974, which permits the temporary imposition of tariffs of up to 15% ad valorem for "large and serious" balance-of-payments deficits.

• Canada's Department of Finance releases proposed hybrid-mismatch-arrangement rules
  Canada's Department of Finance released the much-anticipated second package of draft legislative proposals for new hybrid-mismatch-arrangement rules, implementing recommendations from the OECD/G20 BEPS Action 2 Report, with an effective date for payments arising on or after 1 July 2026. The proposed rules introduce new categories of hybrid-mismatch arrangements, including reverse hybrid arrangements and disregarded-payment arrangements, aimed at addressing deduction/non-inclusion mismatches and double deduction mismatches.

• Argentina enacts new rules for technology transfer agreement registration
  In Resolution No. 38/2026 (issued 2 February 2026), the Argentine National Institute of Industrial Property approved a new regulation for registering technology-transfer agreements, effective immediately. The registration of technology-transfer agreements is currently voluntary and for informational purposes but is essential for companies seeking to benefit from lower tax rates and applicable double tax treaties.

• Colombia establishes temporary net-worth tax on legal entities
  In Decree No. 0173 (issued 24 February 2026), the Colombian Government established a temporary net-worth tax of 0.5% or 1.6% that applies to legal entities. The new temporary tax is imposed in connection with the State of Economic Emergency (due to severe weather conditions) declared in Decree No. 0150 of 11 February 2026.

• Jamaica proposes extending General Consumption Tax to digitally supplied services and intangibles from abroad
  In the Revenue Measures for Financial Year 2026/2027 (introduced 12 February 2026), Jamaica's Minister of Finance and the Public Service proposed applying the General Consumption Tax (GCT) to digital services and intangibles supplied from abroad and consumed in Jamaica. Given that Jamaica already imposes a reverse charge GCT on imports of services by GCT-registered businesses, the proposal is expected to focus on business-to-consumer supplies.

• Canada | British Columbia budget proposes to expand provincial sales tax to certain professional services
  The Government of British Columbia (BC) announced changes in its 2026 budget (BC Budget) that would expand the provincial sales tax (PST) base to include certain professional services, effective 1 October 2026, subject to Bill 2, Budget Measures Implementation Act, 2026 (Bill 2) receiving Royal Assent. If Bill 2 is enacted as proposed, businesses providing the newly listed professional services will generally be required to register to charge, collect and remit PST at a rate of 7%, with the exception of architectural, engineering and geoscience services, which will be subject to a special taxable-base rule under which PST will apply to only 30% of the purchase price of those services.

      This week's newsletters

• Report on recent US international tax developments - 27 February 2026
  Our weekly report with brief summaries of all the week's US international tax developments and related activity.

• Tradelines - 27 February 2026
  Our weekly trade newsletter for global business leaders delivers timely insights into the issues shaping global commerce—from tariff shifts and supply chain disruptions to legislative developments and compliance trends.

• Trade Talking Points - 23 February 2026
  Our bi-weekly report with the latest insights from EY's Trade Strategy team.

 
     Upcoming EY webcasts

• 3 March: US Tariffs: What the US Supreme Court decision could mean for your business
• 5 March: What to expect from global tax policy and controversy in 2026
• 5 March: BEPS Pillar Two: Managing FY24 compliance
• 10 March: International tax talk quarterly series with the EY Global Tax Desk Network - March 2026
• 20 March: EY Center for Tax Policy monthly update - March 2026

A calendar of all upcoming EY webcasts is available.

    Recent EY podcasts

• EY Podcast | Weekly US international cross-border taxation news for week ending 27 February 2026

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

     Asia

• Singapore Budget 2026 | Upcoming incentive refresh in a Pillar Two world
• Singapore resident investors likely to benefit from renewed income tax treaty with Taiwan

     Middle East

• Bahrain extends unemployment insurance to Bahraini employees working in other Gulf Cooperation Council states
• UAE Ministry of Finance releases e-invoicing guidelines

Additional resources

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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.