Outbound Transfers of Stock in Code §351 “Tax-Free” Exchanges

Volume 3 No 4   |   Read Article

By Rusudan Shervashidze and Andrew P. Mitchel

The U.S. has extensive rules regarding tax-free reorganizations in a domestic context. When the transaction involves cross-border exchanges, these rules are supplemented by Code §367(a). Rusudan Shervashidze and Andrew P. Mitchel explain how the rules work when shares of a U.S. corporation are transferred to a foreign corporation in a §351 exchange.  See more →