Tax & Accounting Blog

New French Law on the Taxation of Trusts

New French Law on the Taxation of Trusts

On July 29, 2011, France enacted a new law on the taxation of trusts. Under the new law, a trustee must disclose certain information about the trust if the trust has a French settlor, beneficiary or French assets. The trustee must file the disclosure by June 15. The government was to provide further details on how to … Read More

NRA Withholding and Reporting on Payments to Foreign Nationals – Part 11: What if the Payment Includes Both U.S. Source and Foreign Source Income?

NRA Withholding and Reporting on Payments to Foreign Nationals – Part 11: What if the Payment Includes Both U.S. Source and Foreign Source Income?

If you know that the payment includes both U.S. source and foreign source income and you do not have a reasonable allocation of the U.S. source amount, you must treat the entire amount as U.S. source income. The recipient of the income can submit a U.S. tax return with an allocation of the income between … Read More

Medicare Surtax on Net Investment Income Goes into Effect on January 1, 2013

Medicare Surtax on Net Investment Income Goes into Effect on January 1, 2013

Under the 2010 Health Care reform legislation, a Medicare tax will, for the first time, be applied to investment income beginning in 2013. A new 3.8% tax will be imposed on net investment income of single taxpayers with AGI above $200,000 and joint filers over $250,000. Net investment income is interest, dividends, royalties, rents, gross … Read More

NRA Withholding and Reporting on Payments to Foreign Nationals – Part 10: Do I Have to Withhold on Payments for Services Performed Abroad?

NRA Withholding and Reporting on Payments to Foreign Nationals – Part 10: Do I Have to Withhold on Payments for Services Performed Abroad?

Compensation for services performed abroad is foreign source income. For audit purposes, the place where the services are performed should be indicated in the agreement with the individual. It is not sufficient that the location where the services performed is indicated on the invoice since this is considered by the IRS to be a self-serving … Read More

Data Management Podcast Series: How a Tax Department Automated 70% of Their Tax Adjustments

Data Management Podcast Series: How a Tax Department Automated 70% of Their Tax Adjustments

Imagine eliminating the risk and time-consuming processes of using Microsoft® Office Excel during your income tax filings and year-end financial close. As part of the latest story in our Data Management Podcast Series, Chip Gooding, Director, Tax Accounting and Reporting at Commercial Metals Company (CMC), shares how transitioning to standardized workpapers helped his tax … Read More