IRS Publishes New QI/WP/WT FAQs: The IRS published new Qualified Intermediary (QI), Withholding Foreign Partnership (WP), and Withholding Foreign Trust (WF) Frequently Asked Questions (FAQs).
Miscellaneous Guidance: Notice 2018-42 updates Notice 2018-03 in light of P.L. 115-97, which made amendments to sections 67 and 217. The notice provides current information as to the optional 2018 standard mileage rates for taxpayers to use in computing the deductible costs of operating an automobile for business, charitable, medical, or moving expense purposes.
EU Adopts Transparency Rules for Tax Intermediaries: The Council of the European Union (EU) has adopted rules aimed at boosting transparency to prevent aggressive cross-border tax planning. The directive targets intermediaries such as tax advisors, accountants and lawyers that design and/or promote tax planning schemes. It will require them to report schemes that are potentially aggressive. The information received will be automatically exchanged through a centralized database. Penalties will be imposed on intermediaries that do not comply. Member States will have until December 31, 2018 to transpose the directive into national laws and regulations.
Two Jurisdictions Removed from EU’s List of Non-Cooperative Tax Jurisdictions: Today the Council of the EU announced the removal of the Bahamas and Saint Kitts and Nevis from the EU’s list of non-cooperative tax jurisdictions. The EU’s list is contributing to on-going efforts to prevent tax fraud and promote good governance worldwide. The Bahamas and Saint Kitts and Nevis have made commitments at a high political level to remedy EU concerns.