US Business Group Wants EU Anti-Tax Avoidance Rule Exception

Companies subject to the global minimum tax in the EU should be exempt from a part of the bloc’s anti-avoidance rules that govern a company’s foreign subsidiaries, a US business group said.

In a position paper on the EU’s upcoming tax omnibus bill, the American Chamber of Commerce to the EU said the rules for controlled foreign corporations, or CFCs, in the bloc’s Anti-Tax Avoidance Directive should be deactivated for companies subject to the minimum levy.

Deactivating CFC rules for companies in this situation would allow them to “eliminate entire annual reporting cycles,” consolidate their IT infrastructure ...