U.S. Issues Tax-Rate Guidance For Stockpiled Foreign Income
NEW YORK (Bloomberg News/TNS) – The Internal Revenue Service and the Treasury Department will generally allow existing loans and other related-party transactions involving the overseas affiliates of multinational corporations to be taxed at the lower of two preferential rates, according to an official notice.
The notice says the IRS and the Treasury Department plan new regulations clarifying how multinational companies must compute tax bills on the foreign earnings they have accumulated.
The new tax law requires companies to pay taxes on those earnings at two discounted rates — 15.5 percent on income held as cash and cash equivalents and 8 percent for illiquid assets. Those rates apply to an estimated $3.1 trillion in earnings stockpiled overseas since 1986.
Uber Investors Sell at Big Discount, But Still Make Billions
DETROIT (AP) — Investors in the uber ride-hailing service didn’t get all they wanted in selling at least part of their holdings to a group led by Japanese technology conglomerate SoftBank. But don’t show them too much sympathy. Even though they sold at roughly a 30 percent discount from what the shares were worth in 2016, those who invested early made nearly 100 times their initial stake
Trump’s Irish Resort Loses Money For Third Consecutive Year
NEW YORK (AP) – Donald Trump has lost money for a third year in a row at his golf club in Ireland. Financial statements filed with the Irish government show the resort owned by the U.S. president lost about $2.6 million in 2016, the latest year available. The losses were down 14 percent from losses a year earlier. The resort was hurt by a shutdown in 2015 and part of 2016 while it was being refurbished. The losses come amid signs of trouble at other Trump golf properties.