Nov 22, 2023
In 2017, Congress made several permanent changes to the taxation of foreign earnings with the enactment of the Tax Cuts and Jobs Act (TCJA), P.L. 115-97 . The TCJA imposed a deemed repatriation (Sec. 965). In the Moore v. United States case, the constitutionality of this policy is being challenged.
Listen to Tony Nitti, CPA, Tax Partner — EY, and Damien Martin, CPA, Tax Partner — EY, discuss the pending case live from the 2023 AICPA & CIMA National Tax & Sophisticated Tax Conference, as well as the top tax cases of all time.
What you’ll learn in this episode
- Background on the case and case law history involving U.S. taxation (0:44)
- Deeper dive into the history of U.S. tax law (11:41)
- Hylton v. United States, 3 U.S. (3 Dall.) 171 (1796) (20:38)
- Temporary income tax enactment (23:47)
- Pollock v. Farmers’ Loan & Trust Company, 157 U.S. 429 (1895) (26:06)
- 16th Amendment (28:36)
- Commissioner v. Glenshaw Glass Co., 348 U.S. 426 (1955) (34:13)
- Lead up to the Moore case (35:20)
- Advice for how to explain the Moore case to clients (41:24)
IRS resources
- Section 965 Transition Tax — IRS webpage detailing Sec. 965, including an overview, what taxpayers are impacted and what potentially impacted taxpayers need to know.
Other resources
- Charles G. Moore, et ux., Petitioners v. United States — Case whether the 16th amendment authorizes Congress to tax unrealized sums without apportionment among the states.