X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

NEW YORK CITY-The 2010 Health Care Act contains a provision codifying the economic substance doctrine into the tax law and imposing severe penalties for violations. The economic substance doctrine has existed for decades; it is invoked by courts to disallow tax benefits for transactions whose only purpose is avoiding tax. The doctrine generally was invoked when a transaction followed the literal rules of the tax law but the results were far outside of the “spirit” of the law—it was one of the IRS weapons in fighting tax shelters. Codification has been proposed for years, but was opposed by tax professionals who believed that the current regime worked.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2019 ALM Media Properties, LLC. All Rights Reserved.