The US Treasury Department (Treasury) has reissued its list of countries that require cooperation with, or participation in, an international boycott as a condition of doing business. The Treasury published the list in the Federal Register on 16 February 2024.
The list, which is unchanged from the previous list published on 24 October 2023, includes the following eight countries:
- Iraq;
- Kuwait;
- Lebanon;
- Libya;
- Qatar;
- Saudi Arabia;
- Syria; and
- Yemen.
The listed countries are identified pursuant to section 999 of the US Internal Revenue Code (IRC), which requires US taxpayers to file reports with the Treasury concerning operations in the boycotting countries. Such taxpayers incur adverse consequences under the IRC, including denial of US foreign tax credits (FTCs) for taxes paid to those countries and income inclusion under subpart F of the IRC in the case of US shareholders of controlled foreign corporations (CFCs) that conduct operations in those countries.
Source: IBFD Tax Research Platform News