The adoption of anti-treaty shopping measures like the PPT in Latin American jurisdictions complicates the analysis of whether treaty benefits will continue to be available for holding companies, and the scope of protection for a grandfathered holding structure remains unclear, say KPMG practitioners.

As the IRS has seen more success in transfer pricing enforcement cases, taxpayers should re-evaluate their current transfer pricing documentation and defense strategy and determine whether a proactive approach through the APA or ICAP program could reduce its global transfer pricing exposure, says a Grant Thornton practitioner.

Companies should strategize identifying and understanding the appropriate tax incentives established under The Inflation Reduction Act, CHIPS Act, and the US Foreign-Trade Zones Program in order to promote their financial goals, say KPMG practitioners.

The Dutch tax authorities’ 2023 Mutual Agreement Procedures report demonstrates the rising demand for international dispute resolutions but also for more advance certainty as more bilateral and multilateral advance pricing agreements have been resolved, says a KPMG Meijburg & Co practitioner.

The impact of higher TP amounts in dispute in recent years is likely to result in uncertain tax positions in the financial reporting context and command C-suite attention to TP issues, says a Grant Thornton practitioner.

Italy’s Investment Management Exemption regime will help foreign investment vehicles avoid PE risk and attract non-resident investors to Italy, say CMS practitioners.

Parties to transactions in which tax gross-ups are contemplated should pay close attention when negotiating the terms of tax gross-up provisions — similar to how they manage other terms affecting deal economics.

The U.S. Supreme Court’s June 6, 2024 determination in Connelly v. United States, that a corporation’s life insurance policy held for redemption of a deceased shareholder’s stock increases its fair market value, will significantly affect many buy-sell agreements, many of which utilize life and disability insurance as the ideal funding mechanism for payment of the purchase price upon death, disability, or retirement.

Where a Kansas statute said acquisition price should be one of several determinants of the fair market value of replacement realty, the legislature earlier this year passed an amendment saying such price shouldn’t be considered at all.

Taxpayers generating, selling, and using federal renewable energy credits should beware of potential state tax liability if a state doesn’t conform to federal income exclusions, warn KPMG’s Daniel De Jong and Jasmine Desai.

Estate planners Matt McClintock and Abbie M.B. Everist explain the importance of addressing digital asset issues, particularly given the nascent and “cryptic” nature of the asset, the industry, and the technology through which it is administered — and likely the novel understanding of estate fiduciaries who would administer such assets.

Puerto Rico benefits consultant Carlos Gonzalez explains the rules by which U.S. companies with operations on the Island make employer matching contributions on account of qualified student loan payments by P.R. participants in either “dual-qualified” or “P.R.-only qualified” plans.