This intermediate tax planning session is for law and accounting firm professionals who advise clients on structuring cross border transactions, and on international tax planning and controversy matters; in-house tax professionals involved in cross-border and internal planning and in IRS audits and appeals of international issues; and tax attorneys who want to stay on top of what’s happening in the international tax arena. (Field of Study: Taxes)

Earn Up to 15 CPE/CLE Credits

Monday, August 15, 2016

 

8:00 AM—Registration and Continental Breakfast

8:45 AM—Structuring of Overseas Operations

• Choosing the right vehicle for investing overseas – branch v. corporation v. hybrid entity v. holding companies – filing the election on Form 8832
• Understanding and planning with the check the box rules for foreign entities
• Interrelationship with tax treaty planning, including permanent establishments and limitation on benefits provisions
• U.S. tax consequences of dual consolidated losses – rules for overall U.S. or foreign losses
• Impact of U.S. tax reform and BEPS considerations
• Overview of Proposed Section 385 Regulations

R. David Young, Partner, KPMG LLP, Boston

10:15 AM—Break for Refreshments

10:30 AM—Expense Apportionment Practice Update

• How expense apportionment affects credits foreign taxes and deduction of U.S. expenses
• Selecting the best apportionment method – gross-to-gross v. factual apportionment
• Understanding the rules for interest apportionment – effect of exchange rates on foreign asset bases
• Strategies for minimizing the apportionment of research, state tax and S,G&A expenses to foreign source income

Joshua A. Leclair, Senior Manager, KPMG LLP, Boston

12:00 PM—Luncheon

1:00 PM—Computing Direct and Indirect Foreign Tax Credit Benefits

• Obtaining foreign tax credit benefits for foreign withholding taxes – what constitutes a creditable income tax
• Applying the gross-up formula for foreign taxes
• Computing the separate foreign tax credit basket limitations – separate limitation loss recapture
• Applying the related party look-through rules for dividend and interest payments between related CFCs and 10/50 entities
• How FTC limitations increase the US tax on dividends under Subpart F and Sec. 956
• Section 901 (m) covered asset acquisition rules

Chris Kelley, Partner, Ernst & Young LLP, Boston
Amber Hu, Manager, Ernst & Young LLP, Boston

2:45 PM—Break for Refreshments

3:00 PM—How the Subpart F Anti-Tax Deferral Rules Operate

• Identifying CFCs and “U.S. Shareholders”
• Definition of U.S. shareholder – vote or value ownership
• Understanding the regulations involving Subpart F FPHC income
• Working with the branch rules for foreign sales and manufacturing activities
• Exceptions and limitations on application of the Subpart F rules
• Affirmative use of Subpart F
• Avoiding investments in U.S. property by first or lower-tier CFCs
• Implications of Proposed Section 385 Regulations

Mike Hardgrove, Partner, DLP Piper LLP, Boston

4:45 PM—Meeting Adjourns for the Day

Tuesday, August 16, 2016

 

8:00 AM—Continental Breakfast

8:30 AM—How to Compute Foreign Exchange Gain (Loss)

• Translation v. transaction gain (loss) – determining the functional currency for QBUs under Sec. 985
• Determining the character and source of Sec. 988 transactions
• Translation rules for foreign taxes and earnings and profits under Sec. 986
• Computing foreign exchange gain (loss) on remittances involving branches and foreign disregarded entities under Sec. 987

To Be Announced, Executive Director, Ernst & Young LLP, Boston

10:00 AM—Refreshment Break

10:30 AM—Tax Reporting for Foreign Operations and Activities

• Identifying foreign source income from branches and other pass-through entities
• Understanding the functional currency concept of QBUs – translation of income and Balance Sheet items, E&P and foreign taxes
• Preparing Form 5471 – analyzing the income statement and balance sheet for Subpart F and transfer pricing adjustments
• Tracking Earnings & Profits on Form 5471 for foreign dividend and gross-up calculations
• Disclosing foreign bank accounts on FinCen 114 and other FATCA reporting requirements
• Review of key U.S. international tax reporting forms – Form 926, 1118, 8838 and 8858
• Preparation of Form 8886, Schedule M-3 and Schedule UTP for reporting significant book-tax differences
• Identifying PFICs and preparing Form 8621

Chris Sandry, Senior Manager Ernst & Young LLP, Boston
Caitlin Ball, Senior Manager, Ernst & Young LLP, Boston

12:00 PM—Luncheon

12:45 PM—Transfer Pricing Developments

• Impact of IRS administrative changes on transfer pricing, APAs and Competent Authority cases
• Developments in cost-sharing, intellectual property and regulatory developments
• Update on BEPS and transfer pricing
• Proposed country by country reporting regulations, changes to
• Section 482 aggregation rules and the treatment to outbound transfer under sections 367 and 721

Kevin Burke, Partner, Ernst & Young LLP, Boston

2:15 PM—Refreshments Break

2:30 PM—International Mergers and Acquisitions under Sec. 367

• Acquisition of foreign targets
• Application of U.S. targets with foreign subsidiaries and foreign multinationals acquiring U.S. targets
• Using cash offshore to fund an acquisition of a U.S. target
• Working with the new rules for the transfer of foreign tangible and intangible assets – Secs 367(a) and 367(d)
• International stock transfers and inversions under Sections 367(a) and Section 7874
• Application of Sec. 367(b) to inbound and foreign-to-foreign stock transfers – deferral of negotiation of Sec. 1248 E&P
• Application of New Proposed Section 385 Regulations to intercompany debts

Mike Hardgrove, Partner, DLP Piper LLP, Boston

4:00 PM—Conference Concludes

Register Now!

Conference Location

 

DLP Piper LLP

33 Arch Street, Boston, MA 02110

(617) 406-6000

Hotel Accommodations are at your discretion, we suggest:

Langham Hotel

250 Franklin Street, Boston, MA 02110

(617) 451-1900

Club Quarters Boston

161 Devonshire Street, Boston, MA 02110

(617) 357-6400