Webinar on Treasury and IRS Inversion and Section 385 Interest Stripping Regulations

On April 27, 2016, Penn State Law's Center for the Study of Mergers and Acquisitions hosted a free, public interest webinar featuring U.S. Treasury and IRS officials involved in the drafting of new regulations dealing with inversions and interest stripping. These are transactions in which a U.S. firm merges with a smaller foreign firm, with the purpose of moving the headquarters of the U.S. firm to a foreign jurisdiction. Inversions can result in significant tax reductions, including reductions in the U.S. firm’s U.S. tax liability through interest stripping. 

The new regulations implement and extend Treasury and IRS Notices on Inversions issued in 2014 and 2015, and make it more difficult for U.S. companies to (1) complete an inversion, and (2) reduce U.S. taxes after the inversion, including by interest stripping. 

Webinar Recordings

Audio recordings from Penn State Law’s webinar on the New Treasury and IRS Inversion and Section 385 Interest Stripping Regulations: 

1. Audio on discussion on everything except regulations under 1.385-3 and 4 (we apologize for the technical issues with this recording).
2. Audio of discussion on regulations under 1.385-3 and 4.

Panelists

• J. Brian Davis, Partner, Ivins, Phillips & Baker, Chartered, Washington, D.C.
• Shane M. McCarrick, Assistant to the Branch Chief, IRS Office of the Associate Chief Counsel (Intl.), Branch 4
• Kevin C. Nichols, Senior Counsel, Office of the International Tax Counsel, Office of Tax Policy, Treasury Department
• Raymond J. Stahl, Assistant to the Branch Chief, IRS Office of the Associate Chief Counsel (Intl.), Branch 5
• Brenda L. Zent, Special Advisor to the International Tax Council, Office of Tax Policy, Treasury Department
• Samuel C. Thompson Jr. (Moderator), Director, Center for the Study of Mergers and Acquisitions, Penn State Law

Webinar Materials

1. J. Brian Davis, The New Anti-Inversion Regulations (incl. proposed debt/equity rules) 
2. Samuel C. Thompson Jr., A Basic Guide to the Treasury’s April 2016 Regulations on Inversions and Inter-Company Debt
3. Samuel C. Thompson Jr., slides illustrating (1) a prototypical inversion transaction and (2) the impact of Treasury’s 2016 inversion and Section 385 regulations
4. Treasury’s final and temporary regulations on inversions, April 4, 2016
5. Table of contents to final and temporary regulations on inversions with references to Thompson, guide to the regulations
6. Treasury’s proposed regulations under Section 385, April 4, 2016
7. Table of contents to Section 385 with references to Thompson, guide to the regulations