Deadline Approaches Related to MAP Taxation Assistance

 

Tax Treaties pic

MAP Taxation Assistance
Image: irs.gov

Michael Mundaca serves as Ernst & Young’s (EY) National Tax Department and Americas Tax Center co-director, leveraging past tax policy experience with the US Treasury Department.

A recent article in the EY Global Tax Alert focused on a 2017 deadline for multinational companies under FY 2012 tax audit within Mexico. According to the US-Mexico tax treaty, taxpayers generally are given 4.5 years from the income tax return filing date to provide the US or Mexican government with a request for mutual agreement procedures (MAP) assistance.

According to the EY article, meeting the deadline for notifying either government of the need for suspension of the MAP assistance deadline is critical for entities seeking to avoid issues such as double taxation. Lacking a letter providing authorization of suspension, companies may not be able to access MAP assistance.

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