Andersen Managing Directors Joe Calianno and Sean Dokko are presenting at New York University’s Summer Institute in Taxation on July 16 -17, 2025. On July 16, as part of the Introduction to International Taxation program, for a session titled Outbound Transfers: Section 367 and Inversions, Joe and Sean are discussing the rules of Secs. 367 and 7874. Section 367 is designed to curb the ability of U.S. taxpayers to transfer assets to a foreign corporation in transactions that would otherwise qualify under U.S. tax law as tax-free. Further, they will be discussing the application of Sec. 7874, which was enacted to curtail inversions. Section 7874 can apply to certain acquisitions by a foreign corporation of the stock or assets of a U.S. corporation for stock of the foreign corporation and, depending on the circumstances, result in adverse tax consequences, including treating a foreign corporation as a domestic corporation for U.S. tax purposes.
On July 17, as part of the Advanced International Taxation program, Joe and Sean are panelists for the session titled Controlled Foreign Corporation Planning. The session covers Subpart F and the rules that impose U.S. taxation on U.S. shareholders of controlled foreign corporations (CFCs). The panelists are also discussing planning opportunities and traps for the unwary, earnings and profits limitations, and the use of various exceptions, including the same-country exception, the look-through rule for certain other payments between related CFCs, the active rent and royalty exception, and the high-tax exception.