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The U.S. Treasury Department said last month that it was considering streamlining the documentation requirements of Section 385, an IRS rule aimed at discouraging earnings stripping. At the same time, it said that the distribution portion of the regulations, relating to whether corporate transactions are considered debt or equity, might be eliminated, depending on the success of current congressional efforts to reform the U.S. tax code.
Susan Kelly is a business journalist who has written for Treasury & Risk, FierceCFO, Global Finance, Financial Week, Bridge News and The Bond Buyer.
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