Internationally active companies are scrutinized by the Large Business and International (LB&I) Division of the IRS. Managing IRS examinations: large business and international taxpayers will help you better understand this division and how it could affect you. This white paper provides: An overview of the LB&I Division Discussion of how LB&I selects returns for examination An outline of how to prepare for an LB&I examination
Welcome to the IMA Tax Policy Blog. The blog format reflects our efforts to provide IMA members with timely, relevant and thought provoking information in a form that is accessible for easy reference. IMA’s Tax Policy Blog will be updated on a regular basis. Weekly news update emails will be sent out to notify subscribers of new information posted on the blog. IMA members are welcome to submit material for the blog, or request specific information. Simply email Editor Stefany Henson at firstname.lastname@example.org with your information or request. Editorial submissions are subject to review.
Are you a U.S. citizen or resident who worked abroad last year? Did you receive income from a foreign source in 2014? If you answered yes’ to either of those questions here are seven tax tips you should know about foreign income: 1. Report Worldwide Income. By law, U.S. citizens and residents must report their worldwide income. This includes income from foreign trusts, and foreign bank and securities accounts. 2. File Required Tax Forms. You may need to file Schedule B, Interest and Ordinary Dividends, with your U.S. tax return. You may also need to file Form 8938, Statement of Specified Foreign Financial Assets. In some cases, you may need to file FinCEN Form 114, Report of Foreign Bank and Financial Accounts. See IRS.gov for more information.
From IMA member McGladrey …
It’s all about the consumer now more than ever. What drives a customer to your products? Why do they buy? And can you make your targeted profit?
Economic growth and consumer spending over the next several years will likely trail historic levels. A rising tide will no longer lift all ships, but rather market share will become an important ingredient to higher sales. Shifts in distribution channels and new technology now represent the biggest opportunity for profitable growth.
Other Headwinds to Manufacturing Growth Remain — by Jamie Hennigan, NAM
Manufacturers reject President Obama’s latest budget proposal that would increase estate taxes on small and medium-sized businesses, according to the latest National Association of Manufacturers (NAM)/IndustryWeek Survey of Manufacturers. When asked about the budget proposal, an overwhelming majority of respondents said a higher estate tax would negatively impact them, while almost half said the budget proposal would cause them to reduce investment in their business. In addition, the survey found that the West Coast ports slowdown and a strong U.S. dollar are also weighing heavily on the minds of manufacturers.
The Highway Trust Fund’s shortfall has been hot topic lately. Increased spending and the erosion of the gas tax has led to an ongoing deficit, which is estimated to accumulate a $168 billion shortfall over the next decade. Unless something is done to fix it, the trust fund will run dry by mid-year 2015. Lawmakers on both sides of the aisle have put forth permanent solutions that either cut trust fund spending or increase revenue. However, due to political differences, lawmakers will likely opt to pass poor temporary policy such as pension smoothing or compulsory or voluntary taxes on multinationals’ offshore earnings in order to keep the trust fund from going broke this May.