IRS Reevaluating Advance Pricing Agreement Selection (Correct)

The IRS is considering making the advance pricing agreements more selective, which may increase the interest in the International Compliance Assurance Program, an official said.

The ICAP allows multinational companies to participate in a pre-audit program voluntarily to weigh their tax risk with international tax administrations. Advance pricing agreements are made between tax authorities and companies to give legal certainty on the amount of tax the company will pay.

• “We are reevaluating the APA program and probably will be in a direction to become a little more selective about what we take in going forward,” said Jennifer Best, director ...