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IRS Debt-Equity Proposal May Cause State Tax Headaches

By Vidya Kauri (August 24, 2016, 10:24 PM EDT) -- International transactions that result in large debts, and associated tax advantages, between related entities may have been the impetus for the Internal Revenue Service's proposal to recharacterize debt as equity, but experts say the rules could also create new tax compliance burdens at the state level for wholly domestic transactions....

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