<b>Tax News:</b> US given 60 days to end tax breaks. By Louise Birkett

The US has been given 60 days to amend its tax legislation or face £2.3 billion in sanctions after it lost an appeal to the World Trade Organisation over its so-called Foreign Sales Corporation tax break, which was officially ended in 2004.

Firms affected were given an extension of the tax breaks until the end of 2006. The US also decided that contracts signed before September 17, 2003 were unaffected by the ending of the scheme. But the WTO has ruled that the exemptions were unfair.

Beneficiaries from the tax breaks include Microsoft and Boeing.

Continued...

» Register now

The full article is available to registered AccountingWEB members only. To read the rest of this article you’ll need to login or register.

Registration is FREE and allows you to view all content, ask questions, comment and much more.