IRS Corrects Proposed Regulations on Exclusion of Previously Taxed Earnings and Profits from Gross Income

Summary

The Internal Revenue Service (IRS) has corrected proposed regulations related to the exclusion of previously taxed earnings and profits from gross income, as outlined in section 959 of the Internal Revenue Code, and adjusted the basis of stock in controlled foreign corporations and other property, originally proposed in a notice published on August 29, 2006.