2022 Standard Federal Tax Reporter (CCH) Joint Committee Summary of P.L. 111-147 (Hiring Incentives to Restore Employment Act), Congress (United States)

Summary

• Committee Report: Standard Federal Tax Reporter (2022), Joint Committee Summary of P.L. 111-147 (Hiring Incentives to Restore Employment Act)

  .037 Portfolio interest. -

  The provision repeals the treatment as portfolio interest of interest paid on bonds that are not issued in registered form but meet the foreign targeting requirements of section 163(f)(2)(B). Under the provision, interest qualifies as portfolio interest only if it is paid on an obligation that is issued in registered form and either (1) the beneficial owner has provided the withholding agent with a statement certifying that the beneficial owner is not a United States person (on IRS Form W-8), or (2) the Secretary has determined that such statement is not required in order to carry out the purposes of the subsection. It is anticipated that the Secretary may exercise its authority under this rule to waive the requirement of collecting Forms W-8 in circumstances in which the Secretary has determined there is a low risk of ...