Both Representative Camp, Republican Ways and Means Committee Chair, and President Obama have recently released far reaching proposed changes to the U.S. taxation of cross-border financial transactions.
After several months of hearings on comprehensive tax reform, on February 26, 2014, Representative Camp released a proposal referred to as the Tax Reform Act of 2014. On March 4, President Obama released his Budget Proposals for 2015. The following is a summary of certain proposed changes related to cross-border financial transactions in Rep. Camp’s proposal and the 2015 Budget. We have also prepared summaries of other provisions relevant to other topical areas. Although neither the Tax Reform Act of 2014 nor the Budget Proposals has been formally introduced as a bill, and the prospects for passage of either are uncertain at this point, given the significant nature of the proposed reforms, we will monitor their progress and provide updates as warranted.