Bloomberg Tax
Free Newsletter Sign Up
Bloomberg Tax
Welcome
Go
Free Newsletter Sign Up

Treasury Aims Tax Fix to Keep $40 Billion R&D Spending in U.S.

Dec. 2, 2019, 11:45 PM

The Treasury Department offered some relief to companies that lost foreign tax credits after investing in research and development operations in the U.S.

In proposed rules (REG-105495-19) released Dec. 2, Treasury and the IRS aim to undo a problem created by interaction of outdated expense allocation rules and a new category of foreign income created in the 2017 tax law.

R&D spending of $40 billion by 2,500 taxpayers could have been impacted by the problem, the IRS said, citing 2014 data.

The 2017 ...

To read the full article log in. To learn more about a subscription click here.