IRS finalizes regs on sales of MLP interests by non-US persons | MLPs Message Board Posts

MLPs   /  Message Board  /  Read Message

 

 






Keyword
Subject
Between
and
Rec'd By
Authored By
Minimum Recs
  
Previous Message  Next Message   Post Message   Post a Reply return to message boardtop of board
Msg  124470 of 125091  at  11/30/2020 12:09:26 PM  by

jrad51


IRS finalizes regs on sales of MLP interests by non-US persons

I posted a month or 2 ago about the new withholding tax regulations on the sales proceeds of US partnerships by foreign persons.  At the time, I though publicly-traded partnerships would continue to be exempt from the withholding tax regime, but that was a mistake.  The only open question is who does the withholding.
 
The withholding is 10% of the total proceeds, with some limited exemptions.  I don't understand the regs' reference to qualified intermediaries and nonqualified intermediaries so I'm not sure who in the chain has to do the 10% withholding.  It seems clear that the MLP doesn't do it, and mostly the responsibility is on the broker (similar to what happens now with the 37% withholding tax on distributions paid to foreign investors.  I am not sure of the effective date - there's a bunch of stuff in there about QI's changing their agreements before 2023, which confuses me. 


     e-mail to a friend      printer-friendly     add to library      
| More
Recs: 2     Views: 0
Previous Message  Next Message   Post Message   Post a Reply return to message boardtop of board








Financial Market Data provided by
.
Loading...