Tax News & Views | Tax Policy | Senate Approves Tighter Expatriation Tax Rules in Military Tax Relief Bill; Next Stop – White House

Author
Tax Policy Group, Deloitte Tax LLP

Senate Approves Tighter Expatriation Tax Rules in Military Tax Relief Bill; Next Stop: White House – Now that the Senate has joined the House in passing a $1.2 billion military tax relief package that tightens the tax rules for expatriates, the bill is headed to the White House for President Bush's expected signature.
Final Inversion Rules Issued on EAG Ownership Percentages – Treasury and the Internal Revenue Service have finalized, with changes, regulations that address situations where affiliate-owned stock is regarded or disregarded in determining whether a corporation is a surrogate foreign corporation under section 7874(a)(2)(B).
High Court Upholds State Differential Tax Treatment of Municipal Bond Interest – In a significant decision for state governments, the Supreme Court upheld a Kentucky law that exempts from state income tax the interest on bonds issued by Kentucky or its political subdivisions while taxing interest on bonds issued by other states and their subdivisions.

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