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US | Interim guidance on stock buyback excise tax offers mixed bag for corporate taxpayers

|Tax Alerts, National/Federal Taxation, L ...|United States
United States

  • Notice 2023-2 announces upcoming proposed regulations and provides interim guidance under Internal Revenue Code Section 4501, which generally imposes a non-deductible, 1% excise tax on the fair market value (FMV) of repurchases of corporate stock made after 31 December 2022.

  • The Notice confirms that transactions such as preferred stock redemptions and certain leveraged buyout transactions are subje…

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