Notice 2014-44, released today, addresses the application of section 901(m) to dispositions of assets following covered asset acquisitions.  Section 901(m)(1) limits the creditability of foreign taxes in covered asset acquisitions, which are generally transactions that create additional asset basis for U.S. tax purposes without a corresponding increase in asset basis for foreign tax purposes, thus allowing a taxpayer to claim additional deductions that reduce taxable income and E&P for U.S. tax purposes but not foreign tax purposes (so that foreign taxes will be higher than if the U.S. basis increase were taken into account).  Covered asset acquisitions include qualified stock purchases, transactions treated as an acquisition of assets for U.S. tax purposes and as the acquisition of stock of a corporation for foreign tax purposes, and acquisitions of interests in partnerships that have section 754 elections in effect.  Notice 2014-44 specifically addresses the application of section 901(m)(3)(B)(ii), which generally allows any remaining basis difference to be captured in the year of a disposition of relevant foreign assets, and transactions that the IRS and Treasury believe are undertaken to avoid the purposes of section 901(m).  The rules described in the notice are intended to address situations in which Treasury and the IRS believe it is inappropriate for the basis difference to be taken into account, including where the gain or loss from the disposition is recognized for U.S. tax purposes, but not foreign tax purposes, or cases in which no gain or loss is recognized for U.S. or foreign tax purposes.  The notice generally applies to dispositions occurring on or after July 21, 2014.  Comprehensive regulations addressing section 901(m) have not yet been issued.