U.S. Outbound TaxationMr. Cope has led the tax side of major business restructuring initiatives, advised young companies on establishing their foreign operations, and addressed credit planning and cash repatriation planning for U.S. multinationals with offshore cash. He is aware of and monitors the changing landscape in this area of the tax law.
Establishing Operations Offshore
Greenfield projects v. outbound transfers, Choice of jurisdiction (with foreign tax advisors), Non-taxable outbound transfers, Special considerations for intellectual property, Choice of entity, Positioning the entity within the group, Capital structure, Use of foreign holding companies, Entity classification (check the box) elections.
Foreign Tax Credit Planning
Determining the limitation, Planning to manage the limitation, Planning to utilize excess credits, Who is the taxpayer, Covered asset acquisitions (section 901(m)), Minimum holding period requirements, Carryovers and carrybacks, OFLs and ODLs, Coordination with income tax treaties.
Business Restructurings and Supply Chain Projects
Formation of principal companies (choice of jurisdiction); Planning the sales function (LRDS, commissionaires, agents); Planning the manufacturing function (contract and toll manufacturing); Planning the purchasing function; Subpart F planning; Migrating intellectual property; Local exit charges (with foreign advisors); Advertising and marketing planning; The OECD and business restructurings; the BEPS initiative. See also: Intellectual Property Planning
Offshore Acquisitions and Dispositions
Stock sale v. asset sale; Check and sell, Section 338 elections, Section 901(m), Section 1248 and the foreign tax credit; E&P planning; Loss recognition; Recapture rules; Avoiding the inversion rules.
We have implemented innovative approaches to repatriating cash. These approaches are generally fact specific and are customized based on the company’s situation.
The Changing Landscape
The lock-out effect; US international tax reform proposals; IRS initiatives; BEPS; Source country revenue initiatives.