Michael Mundaca has extensive experience in taxation law that includes a stint as the top tax policy official at the U.S. Treasury Department. As co-director of the EY’s Americas Tax Center, Michael Mundaca maintains a strong focus on Latin American tax developments.
Argentina enacted comprehensive tax reform (Law No. 27,430 (the Law)) on 29 December 2017, through publication in the Official Gazette. The Law is generally effective 1 January 2018. The far-reaching Law introduces amendments to corporate income tax, personal income tax, value added tax (VAT), tax procedural law, criminal tax law, social security contributions, excise tax, tax on fuels, and tax on the transfer of real estate. It also establishes a special regime comprising an optional revaluation of assets for income tax purposes. Companies doing business in Argentina, as well as others with interests in and income from Argentina must consider the consequences of the changes and evaluate the effect on their current Argentine investments.
Americas Tax Center
Having served in three U.S. administrations as a Treasury Department official, Michael Mundaca received the agency’s Alexander Hamilton Award upon completing his most recent tenure, as assistant treasury secretary for tax policy. Since 2011, Michael Mundaca has been a principal at Ernst & Young, (EY) LLP, serving as co-director of both the EY National Tax Department and the EY Americas Tax Center. The EY Americas Tax Center (ATC) is a platform that links the tax practices in EY’s 33 member firms across the Americas, providing cross-border technical capability and an enhanced level of service to clients with operations throughout the Americas and the world.
The ATC serves the ever-changing needs of businesses facing tax planning and administrative challenges. One of the group’s primary focuses is tax policy, enabling it to help clients remain abreast of upcoming tax trends and planned changes to current tax law. The ATC can also help its clients implement more effective risk management strategies. Other ATC services include tax controversy, global compliance and reporting, tax effective supply chain management, and customs and value added tax consulting.
MAP Taxation Assistance
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.
Territorial Tax System
Michael Mundaca works at Ernst & Young (EY) as co-director of its National Tax Department and Americas Tax Center. In serving clients, Michael Mundaca draws on past experience with the US Treasury Department as assistant secretary for tax policy.
A recent Global Tax Alert from the EY Americas Tax Center brings into focus the current debate regarding whether and how a territorial tax system should be implemented by the United States. Part of both the White House and Congressional Republican tax reform plan outlines, as well as being an element of the tax regimes of most major trading partners of the United States, a territorial system would largely exempt from US income tax the foreign profits of US multinational corporations. A more detailed Republican tax reform plan is expected in September at the earliest.