Obtaining Relief From Form 1120-F Deficiency Penalties: Filing Protective Returns and Seeking Reasonable Cause Waiver
Preserving Expense Deductions, Claiming Treaty Positions and Leveraging Section 1.882-4 Provisions
Recording of a 110-minute CPE webinar with Q&A
This course will provide corporate tax professionals with a deep and practical guide to navigate the IRS processes for obtaining relief from penalties and deduction disallowances due to failure to accurately file Form 1120-F Income Tax Return of a Foreign Corporation. The panel will discuss the punitive rules on disallowance of deductions specific to Form 1120-F, offer strategies for filing protective returns, claiming treaty benefits, and seeking relief under Treas. Reg. 1.882-4(a)(3)(ii).
Outline
- Filing Protective Form 1120-F
- Circumstances indicating a Protective Return
- Claiming treaty-based return position on Form 8833 with a Protective Return
- Permanent Establishment tests under which the IRS may assert filing requirements
- Penalties and Consequences of failure to file a required Form 1120-F
- 18-month deduction disallowance window
- Substantial understatement penalties
- Information issues involving Foreign partnerships and completing Schedule P
- Claiming relief under Treas. Reg. 1.882-4(a)(3)(ii)
- Standards for IRS review in determining whether relief will be granted under 1.882-4
Benefits
The panel will discuss these and other important topics:
- Identifying the consequences of failing to file a Form 1120-F for companies that have tax liabilities or filing obligations
- Determining whether to file a Form 1120-F protective return
- Claiming treaty benefits on a Form 1120-F after filing a protective return
- Seeking relief under Treas. Reg. 1.882-4(a)(3)(ii)
- Standards applied by the IRS in determining whether to grant relief from late filing of Form 1120-F
Faculty
Stanley Barsky
Partner
Fox Rothschild
Mr. Barsky's practice involves a broad range of transactional and general advisory tax law matters, with a focus on... | Read More
Mr. Barsky's practice involves a broad range of transactional and general advisory tax law matters, with a focus on international tax issues. He represents clients in connection with taxable and tax-free M&A transactions, both in the domestic and cross-border contexts. He also advises U.S. businesses on establishing and expanding foreign operations as well as foreign nationals and businesses on establishing and expanding U.S. operations and investing in U.S. real estate. His practice also involves advising foreign nationals on restructuring their business and personal holdings in connection with becoming U.S. residents.
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Jennifer E. Benda
Partner
Fox Rothschild
Ms. Benda is an experienced tax attorney who handles tax controversy and income tax planning and compliance matters.... | Read More
Ms. Benda is an experienced tax attorney who handles tax controversy and income tax planning and compliance matters. Her decade-long tenure as a CPA prior to entering the legal field enables her to provide additional benefits to clients in cases involving valuation or accounting issues and to effectively solve complicated tax issues. She addresses the latest developments in all aspects of tax controversy matters on the Firm’s Tax Controversy Sentinel blog.
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Alison N. Dougherty, J.D., LL.M.
Director
Aronson
Ms. Dougherty has extensive experience assisting clients with U.S. tax reporting and compliance for offshore assets and... | Read More
Ms. Dougherty has extensive experience assisting clients with U.S. tax reporting and compliance for offshore assets and foreign accounts. She specializes in international tax compliance, planning and structuring as a subject matter leader of her firm's international tax practice. Her responsibilities include U.S. Federal and multi-state tax compliance for C corporations, S corporations, partnerships and individuals. She also provides transactional tax planning and structuring services.
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