MFA Blog

MFA Submits Letter to U.S. Treasury on Timing of Proposed 871(m) Rules

Posted on March 3, 2014

MFA sent a letter to Treasury requesting the IRS and Treasury extend the March 5 applicability date in the proposed rules to implement Section 871(m) of the Tax Code, which imposes withholding taxes on dividend equivalent payments made to non-U.S. investors that acquire certain dividend instruments. In the letter, MFA asked for the March 5 date to be extended so that concerns about the broad scope of the rule and its potential adverse consequences on U.S. markets could be considered more fully as part of the public comment process.