Background - Practices (Details)

International Tax

CONTACTS +

At Crowell & Moring, we have extensive experience representing taxpayers on a wide array of international tax issues. Our Chambers and International Tax Review recognized lawyers regularly advise multinational corporations and joint ventures regarding the U.S. tax aspects of their most important inbound and outbound transactions, including developing and documenting tax-efficient transfer pricing policies.

We advise U.S.-based taxpayers on the tax laws applicable to outbound investments, including outbound stock and asset transfers, transfers of intangibles, transfer pricing, cost sharing, foreign tax credits, subpart F, passive foreign investment company rules, the base erosion and anti-abuse tax (BEAT), and global intangible low-taxed income (GILTI). We also advise on the tax aspects of restructuring international operations.

We advise foreign-based taxpayers on the tax aspects of operations and investments in the United States, including inbound mergers and acquisitions, operating through a U.S. trade or business, permanent establishments under the U.S. treaty network, branch profits taxes, withholding taxes, and specialized U.S. tax regimes such as the Foreign Investment in Real Property Tax Act (FIRPTA).

Our lawyers have settled numerous international tax issues before the IRS Examination Division and the IRS Appeals Office; and, where settlement was not possible, our lawyers have represented taxpayers with significant international tax issues in court.

We have represented taxpayers in hundreds of advance pricing agreement (APA) and competent authority matters before the IRS’s Advance Pricing & Mutual Agreement (APMA) Program on transfer pricing and permanent establishment issues and the IRS’s Treaty Assistance and Interpretation Team (TAIT) on other treaty issues. These matters have involved issues between the United States and numerous countries, including, for example, Canada, Japan, Switzerland, India, China, the Netherlands, Mexico, Australia, Israel, and Germany.

Our lawyers are demonstrated thought leaders in the area of transfer pricing. For example, one of our lawyers is the editor of the Transfer Pricing Answer Book, published by the Practising Law Institute since 2012 and another was an original co-author of A Practical Guide to U.S. Transfer Pricing, published by Aspen Publishers.

Representative Engagements

  • Representing a foreign-based multinational retail company in a competent authority matter involving a Swiss affiliate’s sale of tangible goods to the U.S. subsidiary.
  • Representing a U.S.-based multinational consumer goods company in a trilateral competent authority matter between the United States, Germany, and Switzerland involving the payment of royalties.
  • Representing a U.S.-based multinational spirits manufacturer regarding its request for a bilateral U.S.-Mexico advance pricing agreement involving the deductibility of advertising, marketing, and promotion expenses and the payment of a royalty for the use of intangibles.
  • Representing a U.S.-based hospitality company in bilateral U.S.-Swiss and unilateral advance pricing agreements related to high-value services.
  • Representing a U.S.-based multinational consumer goods company in obtaining bilateral U.S.-India advance pricing agreements and resolving U.S.-India competent authority matters involving the deductibility of advertising, marketing, and promotion expenses and the payment of a royalty for the use of trademark and technology intangibles.
  • Advised a multinational software company on transfer pricing options to restructure its Luxembourg intellectual property management company in light of changes in local and European Union law and under the BEPS initiative (129 subsidiaries in 38 countries).
  • Advised a foreign investment fund regarding investment in a U.S. private equity fund, including potential limitation of benefits under the relevant tax treaty and the U.S. income tax and FIRPTA consequences.
  • Counseled a multinational corporation on the U.S. tax consequences of inbound investments, U.S. withholding requirements, and the impact of tax treaties.
  • Counseled an international airline regarding the federal and state income tax, and state sales tax, consequences of sale-leaseback of aircraft, including the impact of tax treaties.
  • Advised a mining company on FIRPTA issues related to purchase of a mine from a foreign owner.
  • Advised a global healthcare solutions company regarding the federal tax consequences of its outbound transfer of various intangibles.
  • Advised a global technology company on inbound transfer pricing options to restructure development and exploitation of intellectual property related to data management and the internet of things.
  • Represented a U.S.-based multinational before IRS Appeals and in a modified Fast Track Settlement proceeding regarding its strategy for tax-efficient repatriation of foreign earnings.
  • Represented a global confectionary company in an IRS Fast Track Appeals proceeding involving inbound transfer pricing issues.
  • Represented a foreign-based multinational pharmaceutical company before IRS Appeals involving a U.S.-Ireland residual profit split issue under Section 482.
  • Represented a leading retailer in a simultaneous IRS Appeals-competent authority proceeding regarding trademark royalties.
  • Represented a foreign-based multinational security company in an IRS Appeals proceeding and a competent authority matter involving its U.S. subsidiary’s payment of royalties to foreign affiliates in Ireland and the Netherlands for the use of trademark, trade name, and business model intangibles.
  • Represented a U.S.-based global network infrastructure company in a competent authority proceeding relating to its purchase of an Israeli software company.
  • Represented an energy company in obtaining a bilateral advance pricing agreement involving centralized services arrangements, under both the old and new Section 482 services regulations.
  • Represented a U.S. multinational home products company in obtaining bilateral advance pricing agreements regarding its sales of products into Japan and Australia.
  • Represented a foreign-based food ingredient company in obtaining a bilateral advance pricing agreement regarding its sales of products from the Netherlands into the United States.
  • Represented technology companies in IRS Exam, IRS Appeals, and competent authority proceedings concerning buy-in royalty and cost-share payments; when the IRS proposed designating one company’s cost-sharing case for litigation, we succeeded in resolving the matter without litigation.
  • Represented the U.S. subsidiaries of a global electronics company concerning their transfer pricing for tangible goods in proceedings before IRS Exam, IRS Appeals, APMA, and the U.S. Tax Court.
  • Represented a cosmetics company before the U.S. Tax Court regarding the development of marketing intangibles in local markets around the world.
  • Represented a leading global oil and gas company before the U.S. Tax Court in a multi-billion dollar case involving the credibility of the United Kingdom's Petroleum Revenue Tax.
  • Represented a leading global oil and gas company before the U.S. Tax Court in a multi-billion dollar transfer pricing case involving a foreign legal restriction imposed on the price of crude oil.