Insight

KPMG Tax Publishes

Recent and archived KPMG authored articles on tax topics

KPMG Tax professionals share their knowledge about and contribute to the discussion of important tax topics by publishing in industry journals. Reprints of their articles are cataloged here.

Recent articles

Digital Services Tax: Why the World Is Watching
January 6, 2021 | In response to digital services taxes (DSTs) that have been proposed by the European Commission and a number of countries, the United States has threatened to impose retaliatory tariffs, arguing that DSTs unfairly target U.S. multinational corporations. This article summarizes the various DST proposals globally and discusses potential duty mitigation strategies should the United States choose to respond with retaliatory tariffs. | Bloomberg Tax
The Year Ahead in International Taxation
December 30, 2020 | Doug Poms, KPMG Tax principal and former Internatonal Tax Counsel at the U.S. Treasury Department, outlines what may likely be on the Treasury agenda on the international tax front in 2021. | Bloomberg Tax
Withholding and QOZs: Treasury Withholds Relief, and Non-U.S. Investors Withhold Capital
December 16, 2020 | In this article, the authors examine the intent of the QOZ program, the possible reasons why investment by non-U.S. taxpayers has been limited, and potential solutions. | Tax Management Real Estate Journal
Managing the Mandatory Disclosure Reporting Process for U.S. MNE Groups
December 4, 2020 | In this article, the authors answer frequently asked questions about the implementation of mandatory disclosure reporting regimes and leading practice considerations for managing the reporting process. | Tax Management International Journal
IRS Partnership Enforcement Ramps Up
November 30, 2020 | The authors discuss in this article how historically, the IRS showed mixed success with its partnership audit program. Both the Congressional Government Accountability Office and the Treasury Inspector General for Tax Administration have challenged the IRS to do a better job auditing partnerships, especially large partnerships. For years, the IRS has committed to do just that. 2021 is the year that the IRS may finally deliver on its commitment. Partnerships and their advisors should get ready. | Bloomberg Tax
IRS Guidance on Daily Fantasy Sports Raises the Stakes for Operators
November 30, 2020 | In this article, the authors review IRS guidance regarding the application of excise taxes and income tax deduction rules to daily fantasy sports. | Tax Notes Federal

 

 

Archived articles

 

2020

Ending the Year with a Like-Kind Exchange: Special Considerations for Like-Kind Exchanges that Straddle Tax Years
November 18, 2020 | In this article, the authors outline certain considerations that a taxpayer should take into account when entering into a deferred like-kind exchange at the end of its tax year. | Tax Management Real Estate Journal
Successor Tax Liabilities In M&A Transactions
November 23, 2020 | In this article, the authors highlight tax risks associated with business acquisitions, including transactions treated as asset acquisitions for federal tax purposes. | Tax Notes Federal
State Transfer Pricing Trends and Opportunities Accelerated by COVID-19
November 16, 2020 | In this article, the authors discuss recent state transfer pricing trends and how they have been affected by the COVID-19 pandemic. | Tax Notes Federal
Current Status of U.S. Tax Treaties and International Tax Agreements
November 13, 2020 | This article catalogs the current status of U.S. tax treaties and international tax agreements as of October 30, 2020. | Tax Management International Journal
Leasing in a Time of Distress: A Review of Select Leasing Issues as Companies Consider Leasing Transactions in Addressing Liquidity Concerns (Part 1)
Quarter 3 2020 | The author examines sale-leasebacks from a U.S. federal tax perspective, highlighting the true lease analysis that is fundamental to the characterization of a sale-leaseback transaction and the tax consequences that can result from the potential characterizations of the transaction. | Journal of Taxation of Financial Products
Clearing Up the Tax Considerations of the Cleared Swap Discounting Transtions
Quarter 3 2020 | The authors provide an in-depth analysis of the potential tax ramifications of discounting transitions for certain swaps, following the phase out of LIBOR. | Journal of Taxation of Financial Products
Mandatory Disclosure Rules in the European Union and Mexico
October 2, 2020 | In this article, the authors focus on the Action 12 of the OECD BEPS project, mandatory disclosure rules (MDR) to improve global tax transparency, and specifically on the MDR regimes of the European Union (including the United Kingdom) and Mexico. The two regimes illustrate the potential breadth of MDR and signals the challenges that multinational taxpayers will face as MDR proliferates in various forms. | Tax Management International Journal
Thinking Through Secondary Transfer Pricing Adjustments
Autumn 2020 | Transfer pricing adjustments may be even more critical in light of COVID-19. Some tax authorities are looking to audits as a means of replenishing depleted coffers, and many taxpayers may need to rely on post-year-end taxpayer-initiated adjustments to correct their transfer pricing as more reliable comparable data becomes available. | International Tax Review
A U.S. Perspective on Transfer Pricing and EU State Aid
October 2020 | The authors offer views on the role of the arm's-length principle in EU state aid enforcement. | International Tax Review
INSIGHT: Disrupting Tax Processes with Artificial Intelligence Technology
September 24, 2020 | Artificial intelligence (AI) is redefining the future of business and is substantially helping companies deliver robust intelligent automation solutions. In this article, the authors examine a specific transfer pricing related use case, benchmarking for transfer pricing, and how AI can be used to improve that process. | Bloomberg Tax
Fifty Shades of Gray Area: REITs Investing in Hybrid Securities
September 14, 2020 | In this article, the author provides a roadmap for navigating the real estate investment trust terrain associated with analyzing and investment that is not readily classifiable as either debt or equity. | Tax Notes Federal
CARES Act Refund Claims and ATNOL Guidance: Another Fly in the Ointment
September 7, 2020 | In this article, the authors analyze the IRS's FAQs regarding the five-year carryback period for net operating losses, and they clarify how C corporations can carry back NOLs to years subject to the alternative minimum tax rules. | Tax Notes Federal
Transfer Pricing Remains Crucial as IRS and CAP Program Opens for 2021
September 2020 | Mark Martin and Thomas Bettge from KPMG note the opening of applications for the IRS’ CAP program’s 2021 year, and reflect on how the program’s approach to transfer pricing has shifted in recent years. | International Tax Review
The State of Country-by-Country Reporting
August 31, 2020 | In this article, the authors highlight the movement toward increased transparency and how that translates into additional compliance burdens, concluding that country-by-country reporting is here to stay. | Tax Notes International
A New Era for Secondary Transfer Pricing Adjustments?
August 24, 2020 | In this article, the authors examine the mechanisms for and the tax consequences of secondary adjustments and analyze how taxpayers should conform their accounts following transfer pricing adjustments. | Tax Notes Federal
Offshore TRS Alternative: An Elegant Solution for Global Healthcare and Hotel REITs
August 18, 2020 | This article reviews the relevant rules concerning the investment by REITs in health care and hotel facilities, summarizes the offshore TRS alternative structure and PLR 202029002, and explores the benefits available to REITs using the offshore alternative structure. | Tax Management Real Estate Journal
QIP Glicth Fixed, but Only for New Build-Outs
August 10, 2020 | In this article, the author reviews changes the CARES Act made to the definition of qualified improvement property. | Tax Notes Federal
INSIGHT: IRS LB&I Concept Unit on Accuracy-Related Penalties Contains Significant Errors
August 4, 2020 | In this article, authors present reasons why concept unit should not be relied on when applying accuracy-related penalties. | Bloomberg Tax
INSIGHT: Transfer Pricing Substance in Flux - DEMPE, BEPS 2.0, and COVID-19 (Bloomberg Tax)
July 31, 2020 | In this article, the authors discuss DEMPE principles, which were introduced in BEPS Actions 8-10 and incorporated in Chapter 6 of the OECD's transfer pricing guidelines, and the potential impact of BEPS 2.0 and COVID-19 on transfer pricing substance. | Bloomberg Tax
Effect of New Lease Accounting Standards on Transfer Pricing Benchmarks (Bloomberg Tax)
July 28, 2020 | In this article, the author evaluates the early evidence from the adoption of new lease accounting standards and draws preliminary insights about the most likely situations where the use of financial data from benchmarking databases may require additional considerations or adjustments. | Bloomberg Tax
INSIGHT: Effect of New Lease Accounting Standards on Transfer Pricing Benchmarks (Bloomberg Tax)
July 28, 2020 | The objective of this article is to evaluate the early evidence from the adoption of the new standards and draw preliminary insights about the most likely situations where the use of financial data from benchmarking databases may require additional considerations or adjustments. | Bloomberg Tax
VAT and the Digital Economy: The Untold Story of Global Challenges
July 24, 2020 | In this article, the authors examine how the VAT applies in the digital and provide general guide for companies looking to Comply with VAT rules for digital goods and service, from the fundamental challenges of the digital world to the newest challenges presented by cutting-edge technologies and changing business models. | Tax Notes International - Special Reports
An Unfamiliar Duty Burden: The Tariff Effect of Intellectual Property Payments
July 20, 2020 | In this article, the authors discuss how tariffs affect intellectual property payments for imported goods. | Tax Notes International
Expediting NOL Refunds
July 20, 2020 | In this letter to the editors of Tax Notes Federal, the authors update their June 8, 2020, article, titled "Navigating IRS Fax Rules to Expedite NOL and Minimum Tax Refunds," providing an updated table of deadlines for filing Forms 1139 based on supplemental IRS guidance. | Tax Notes Federal - Letter to the Editor
INSIGHT: Transfer Pricing Adjustments to the Covid-19 Economic Downturn
July 6, 2020 | In this article, the authors discuss some potential approaches for adjusting profit benchmarks for controlled entities in the comparable profits method/transactional net margin method (CPMTMM) context, consistent with the arm's-length standard. | Tax Management Transfer Pricing Report
COVID-19 Disruption: International Tax and Transfer Pricing Issues
July 2020 | In this article, the authors focus on some of the significant international tax and transfer pricing issues arising from companies' activities disrupted by TCJA and COVID-19. | Journal of Internal Taxation
COVID-19's Impact on Transfer Pricing in the Life Sciences Industry
June 29, 2020 | In this article, the authors examine key trends affecting the life sciences industry in the COVID-19 pandemic and the associated transfer pricing considerations. | Tax Notes Federal
Revisiting Transfer Prices and Intercompany Contracts in Light of COVID-19
June 22, 2020 | In this article, the authors examine the considerations that should be taken into account in evaluating potential changes to related-party arrangements under the OECD transfer pricing guidelines and Treasury regulations. | Tax Notes Federal
Practical implications of denial of review in "Altera v. Commissioner"
June 22, 2020 | This article eschews issues in favor of a more practical question: given the current state of authority, what factors should taxpayers consider now when approaching the Altera issue on their own tax returns? | Bloomberg Tax
INSIGHT: Online Teaching in Higher Education—Indirect Tax Considerations
June 19, 2020 | This article focus on the VAT aspects of online program offerings, especially those courses offered for a fee. | Bloomberg Tax
Which Debtor Costs During Bankruptcy Are Deductible
June 15, 2020 | Recently a panel of KPMG LLP corporate and bankruptcy practitioners looked at the following questions: which debtor costs may be deducted, as opposed to being capitalized, in relation to a bankruptcy case. This article discusses the tax treatment of those expenditures. | Tax Notes Federal
Navigating IRE Fax Rules to Expedite NOL and Minimum Tax Refunds
June 8, 2020 | In this article, the authors examine the benefits and requirements of the expedited tentative refund procedure for net operating loss carrybacks and unused minimum tax credits, with special emphasis on temporary procedures adopted by the IRS in light of the coronavirus pandemic. | Tax Notes Federal
COVID-19 and Dislocated Employees: DEMPE and Risk Control Considerations
June 2020 | The authors address the transfer pricing implications of employees working outside their normal business jurisdictions during the COVID-19 pandemic. | International Tax Review
Not Just for the Maritime Industry: OFAC's Latest Sanctions Advisory
June 2020 | In this piece, authors discuss OFAC's latest advisory for the maritime industry and how these guidance can also be applicable to most business sectors that face the ongoing challenges of sanctions compliance. | Export Compliance Manager
Tax Court to Decide on Foreign Taxpayer's Right to Deductions in Adam's Challenge
Summer 2020 | This article presents a overview on Tax Court decision whether the taxpayer is entitled to take deductions in Adams Challenge .| International Tax Review
Advance Pricing Agreements and COVID-19
May 25, 2020 | In this article, the authors explain how recent changes to the U.S. advance pricing agreement model confirm the potential to amend existing APAs and highlight the value of the APA process to address extraordinary economic disruption through tailored long-term solutions. | Tax Notes Federal
Managing Global Indirect Taxes During COVID-19 - An Overview of Savings Opportunities and Unintended Consequences
May 21, 2020 | The authors draw an overview of saving opportunities and consequences of global indirect taxes management during Covid-19. | Bloomberg Tax
ATNOL Carrybacks Under the CARES Act
May 18, 2020 | In this article, Chapman and Dobyan examine the interaction between the Coronavirus Aid, Relief, and Economic Security Act’s five-year net operating loss carryback provisions and the retained alternative minimum tax rules. | Tax Notes Federal
Intangible Property Transfer pricing In an Economic Downturn
May 11, 2020 | In this article, the authors examine the implications of the economic downturn for pricing controlled intangible property transfers. | Tax notes International
A Fresh Look at s Stale Ambiguity in the Subprt F Rules
May 11, 2020 | In this article, the authors discuss the interaction of the full inclusion rule in section 954(b)(3)(B); the high-tax exception in section 954(b)(4); and the full inclusion kickout in U.S. Treas. reg. section 1.954-1(d)(6), which is meant to coordinate the two. | Tax Notes International
Decisions, Decisions: COVID-19 Guidance and Real Estate
May 11, 2020 | In this article, Sowell discusses decision points of tax provisions and guidance relevant to the real estate industry issued in response to the COVID-19 pandemic. | Tax Notes Federal
INSIGHT: Covid-19 Disruption in Life Sciences Industry—Tax, Trade, Value Chain Considerations
May 11, 2020 | This article discusses significant challenges posed by COVID-19 disruption and some of the key issues for life sciences companies from tax, trade and valuation perspectives, covering supply chain, financing and cash flow, and research and development. Possible post-COVID-19 trends, opportunities, and issues for the industry are also discussed. | The Bureau of National Affairs
INSIGHT: Advance pricing Arrangements Series - Asia Pacific
May 05, 2020 | This article focuses on the Advance Pricing Arrangement (APA) in Australia, China, Japan, New Zealand, Singapore, and Vietnam. | Tax Management Transfer Pricing Report
International and U.S. Digital Services Tax
May 4, 2020 | In this article, the authors discuss proposed state digital service taxes, criticisms and practical issues regarding their application, and legal challenges they may face. | Tax Notes State
SRLY Is Not a Bar to Minimum Tax Credit Refunds
May 4, 2020 | In this article, Chapman and Unell argue that a consolidated return regulation can be read to include an adjustment that should allow all minimum tax credits that arose in a separate return limitation year to be refunded by the 2019 tax year. | Tax Notes Federal
ITAR: Five Common Mistakes and How To Avoid Violations
May 2020 | The authors present ITAR's five most common mistaken that can commonly result in violations. | Export Compliance Manager
IRS Issues APA Statistics for 2019
May 2020 | The authors discuss the most recent U.S. APA statistics in the context of broader trends. | International Tax Review
Eligibility for Treaty Benefits Under the Spain-U.S. Income Tax Treaty
April 27, 2020 | In this article, the authors provide flowcharts to assist practitioners in determining whether companies are eligible for benefits under the limitation on benefits provision in the Spain-U.S. income tax treaty. | Tax Notes International
A Few Thoughts on REITs and the BEAT
April 20, 2020 | In this article, the authors consider how the U.S. base erosion and antiabuse tax will affect subsidiaries owned by real estate investment trusts. | Taxnotes International
California's Unemployment Insurance Fund
April 17, 2020 | The author discusses past years developments as well as the COVID-19 pandemic impact on the Unemployment Insurance Fund | Cal Tax Letter
Reading the Tea Leaves in the IRS's Fiscal 2021 Budget
April 6, 2020 | In this article, the author explores what the Trump administration’s fiscal 2021 budget signals about the IRS’s priorities and the future of tax administration. | Tax Notes Federal
Export Controls and Sanctions: A Better Way to Train
April 2020 | The authors discuss ways to improve training in export controls and sanctions. | Export Compliance Manager
Transfer Pricing Implications of COVI-19 - Revisiting Pricing, Contracts and APAs
April 2020 | The authors explore certain implications of the global COVID-19 pandemic for companies' transfer pricing arrangements. | International Tax Review
A New Era of Risk-Based IRS Transfer Pricing Enforcement
March 30, 2020 | In this report, the authors trace the development of the IRS Large Business and International Division’s new approach to transfer pricing enforcement, and they explain the practical implications for taxpayers and advisers. | Tax Notes International
INSIGHT: COVID-19 Puts Limited Risk Structure at Risk - Analysis from the Chinese Angle
March 26, 2020 | In this article, the first of a series, the authors will focus on the 2020 transfer pricing treatment for the limited risk operations in China. | Tax Management Transfer Pricing Reporting
INSIGHT: U.S. Trade Tariffs - The 'Origin' Story
March 24, 2020 | This article discusses key considerations and U.S. Customs and Border Protection (CBP) rules and decisions that companies should take into account when altering supply chains or manufacturing operations to obtain different ‘‘origin’’ outcomes for tariff purposes. | Bloomberg Tax
The Like-Kind Exchange Zombie
March 23, 2020 | n this article, the authors examine like-kind exchanges under section 1031, taxdeferred like-kind exchange equivalents under other statutes, and how the new bonus depreciation rules effectively enable similar like-kind exchange results. | Tax Notes Federal
The Future Is Now: REITs and Coworking Businesses
March 9, 2020 | In this article, the author explains how the real estate investment trust rules apply to coworking businesses, and he examines different structures that may be available to REITs in this area in light of the various technical problems. | Tax Notes Federal
IRS Memo Describes Partnership Audit Procedures and Confirms IRS Appeals' Role
March 6, 2020 | The author discusses recent IRS guidance that indicates the IRS Office of Appeals will play a larger role in the new partnership audit procedures under the Bipartisan Budget Act of 2015. The author concludes that although further guidance is needed, the memorandum is an important first step. | Tax Management Transfer Pricing Reporting
Unclaimed Property Reforms Create Challenges for Banking Entities
March 2, 2020 | In this article, the authors discuss recent significant changes and trends for banks and financial institutions that should be considered when evaluating unclaimed property compliance processes and procedures. | Tax Notes State
Risk Assessments: Managing the Changing Regulatory Landscape
March 2020 | This article presents ways to access risk in a dynamic regulatory landscape to promote compliance without impending the business. | Export Compliance Manager
EU Mandatory Disclosure Impending for Certain Transfer Pricing Arrangements
March 2020 | In this article, the authors explore the application of EU mandatory disclosure requirements to transfer pricing arrangements. | International Tax Review
Cryptocurrency Loans - Taxable or Not?
Quarter 1 2020 | In this article, the authors examine the proper tax treatment of cryptocurrency loans, a financial product that has recently emerged in the budding cryptocurrency industry. | Journal of Taxation of Financial Products
INSIGHT: Brazilian Tax Reform - Key Considerations for U.S. Multinationals
February 28, 2020 | In this article, the authors discuss key considerations for U.S. multinationals to consider as a result of a potential Brazilian tax reform. | Bloomberg Tax
INSIGHT: Survival Skills for Tax Season 2020
February 13, 2020 | In this article, the author discusses are three critical survival skills for tax professionals gearing up for the 2020 tax compliance season: Teamwork and Collaboration, Project Management, and Innovation.| Bloomberg Tax
What's Shaking in California for 2020?
January 13, 2020 | In this article, the authors discuss potential state tax happenings in 2020 that could shake up California's tax system | Tax Notes State
Transfer Pricing's Brave New World
January 27, 20 | n this article, the authors discuss recent important developments in transfer pricing and suggest practical considerations for multinational entities. | Tax Notes International
There and Back Again: Downturns, NOLs, and Lewis v. Reynolds
January 13, 2020 | In this article, the authors outline an approach that could, under appropriate circumstances, offer an alternative path for troubled companies to get a refund of taxes for capital needs based on previously unclaimed historical tax attributes. | Tax Notes Federal
Fundamentals of Tax Reform: BEAT, 2019 Final and Proposed Regulations
January 10, 2020 | This article updates a previous discussion on the BEAT - the base erosion and anti-abuse tax. | Tax Management International Journal