Treasury Thinking About Modifying ‘Per Se’ Rule in Excise Tax Guidance

The Treasury is thinking about modifying a rule in its stock buyback excise tax guidance regarding foreign corporations’ repurchase of stock.

Brenda Zent, special adviser on international taxation at Treasury, said the department was contemplating tweaking the “per se” rule that’s part of Notice 2023-2.

“We’re thinking about modifying the per se rule to allow you to provide a rebuttable presumption,” Zent said Thursday while speaking virtually at the International Fiscal Association’s annual conference in Chicago. “So I think that would be a pressure relief.”

• The tax imposes a 1% levy on stock buybacks. Notice 2023-2 was ...