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US Treasury and IRS provisionally accept new Mexican tax under bilateral tax treaty

December 12, 2007

Analysis of:IRS Evaluates Mexican Business Tax | www.webcpa.com

This announcement suggests that the US government will accept the new Single Rate Business Tax (IETU) going forward, though the fact that it establishes a test period creates inherent doubt -- and therefore risk. Numerous other nations, including members of the European Union, Japan, Canada, and others, accepted the IETU outright.

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