BTAX OnPoint: IRS Rules Relax Foreign Tax Credit Requirements

Nov. 29, 2022, 6:04 PM UTC

The Treasury Department proposed modifying and relaxing foreign tax credit rules it issued in January 2022 (T.D. 9959).

The agency published the guidance (REG-112096-22) on Nov. 22. The January regulations added strict new requirements that caused taxpayers to question whether certain foreign income taxes remain creditable.

The proposed rules generally apply to foreign taxes paid or accrued in taxable years ending on or after Nov. 18, but can be relied on earlier under certain circumstances.

Download the BTAX OnPoint: 2022 Proposed Foreign Tax Credit Regulations

The attached OnPoint discusses the proposal’s:

  • Clarifications to the application of the cost recovery requirement; ...

Learn more about Bloomberg Tax or Log In to keep reading:

Learn About Bloomberg Tax

From research to software to news, find what you need to stay ahead.

Already a subscriber?

Log in to keep reading or access research tools.