Pending tax treaties and protocols and benefits of arm's-length method.

Tax ExecutiveVol. 47 Nbr. 4, July 1995

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Summary


Tax Executives Institute International Tax Committee

The US Senate should act as soon as possible to get the seven tax treaties and protocols submitted by Pres Clinton enacted as soon as possible. The Senate should not succumb to the suggestions of Sen. Dorgan that the arm's-length method for transfer pricing be replaced with a formulary apportionment method. The pending agreements are with the Ukraine, Canada, Sweden, France, Portugal, Kazakhstan and Mexico.

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Extract


Pending tax treaties and protocols and benefits of arm's-length method.

On May 24, 1995, Tax Executives Institute filed the following comments with the Senate Committee on Foreign Relations, urging the Senate to ratify pending tax treaties and protocols with the following seven countries: Canada, France, Kazakhstan, Mexico, Portugal, Sweden, and Ukraine. The Institute's submission, which supplements comments filed in 1994 and earlier this year, was prepared under the aegis of its International Tax Committee, whose chair is Philip J. Bergquist of Apple Computer, Inc.

Last year President Clinton forwarded several tax treaties an...

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