Daily Tax Update - February 24, 2017: IRS Issues Draft Instructions for Country-By-Country Reporting of Global Income

IRS Issues Draft Instructions for Country-By-Country Reporting of Global Income: 
Today, the IRS released instructions for the draft Form 8975 and related Schedule A, for use by US multinationals with $850 million or more in annual consolidated gross income.  According to the instructions, companies that are the “ultimate parent” of a global group must report the amounts of revenue, profit or loss, capital, and accumulated earnings for each county of operation.  The draft form is based on the Organization for Economic Cooperation and Development’s guidance for country-by-country reporting, which was finalized in 2015.