15 Feb 2022
Tax Department Best Practices for ESG Compliance
New findings released by global research firm Gartner, Inc. highlight that corporations need to delineate their social stances and make environmental, social, and governance (ESG) matters prime considerations. Part of this process is to ensure that the corporation is in full compliance with tax laws in all of the nations in which the corporation does business, as well as complying with U.S. federal, state, and local laws. Corporate tax departments may need an assist in implementing policies and procedures that conform to tax best practices for purposes of the corporation's overall ESG strategy.
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Treasury adopts as final the interim final rule published on May 17, 2021, with amendments, thereby implementing the Coronavirus Local Fiscal Recovery Fund established under the American Rescue Plan Act. The provisions in the final rules are effective April 1, 2022. 87 Fed. Reg. 4338 (Jan. 27, 2022).
Treasury adopts final regulations under I.R.C. Section 958, requiring an aggregate approach to determine the Subpart F inclusion for a CFC owned by a domestic partnership. Treasury also released accompanying proposed regulations extending the aggregate approach to domestic partnerships that own an interest in a passive foreign investment company (PFIC). 87 Fed. Reg. 3648 (Jan. 25, 2022).
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