Analysis

Tax Specialists Call For Generous Reading Of BEAT Provision

Law360 (February 22, 2018, 4:41 PM EST) -- A literal reading of one of the new international provisions in the recent federal tax overhaul could have the unintended consequence of encouraging U.S. companies to change their operations to avoid the harsh treatment, practitioners said.

Tax specialists have clamored for an answer about how to calculate the new base erosion and anti-abuse tax, or BEAT, in cases where intercompany services provided to the U.S. entity contain a markup. While services charged at cost are exempt from the “base erosion minimum tax amount” the new law imposes, those with a markup aren’t — or aren’t fully exempt.

Under a strict reading...

Stay ahead of the curve

In the legal profession, information is the key to success. You have to know what’s happening with clients, competitors, practice areas, and industries. Law360 provides the intelligence you need to remain an expert and beat the competition.


  • Access to case data within articles (numbers, filings, courts, nature of suit, and more.)
  • Access to attached documents such as briefs, petitions, complaints, decisions, motions, etc.
  • Create custom alerts for specific article and case topics and so much more!

TRY LAW360 FREE FOR SEVEN DAYS

Related Sections

Law Firms

Companies

Government Agencies

Hello! I'm Law360's automated support bot.

How can I help you today?

For example, you can type:
  • I forgot my password
  • I took a free trial but didn't get a verification email
  • How do I sign up for a newsletter?
Beta
Ask a question!