close
Share with your friends

KPMG report: Modifications to LIBOR-related contracts

KPMG report: Modifications to LIBOR-related contracts

New guidance to taxpayers regarding the transition away from the London Interbank Offered Rate (LIBOR) provides much needed direction to market participants currently modifying contracts to address this important event.

1000

Related content

Broadly, if certain requirements are satisfied, these modifications will not result in taxable exchanges of the contracts. Careful planning, along with good coordination between a taxpayer’s treasury and tax functions, are essential to provide that the transition away from LIBOR happens smoothly and without unexpected tax consequences. 

Read a November 2020 report [PDF 169 KB] prepared by KPMG LLP: What’s News in Tax: Revenue Procedure 2020-44 Guidance on LIBOR-Related Contract Modifications Adopting Fallback Language

The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organization. KPMG International Limited is a private English company limited by guarantee and does not provide services to clients. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.

Connect with us

 

Want to do business with KPMG?

 

loading image Request for proposal