This podcast’s title hasn’t changed, but on the international tax stage GILTI is converting to the new CFC-tested income (NCTI) regime.That’s just one shift brought about by the One Big Beautiful Bill that Congress passed on July 4. Skadden colleagues Loren Ponds, Eric Sensenbrenner and Paul Oosterhuis break down the bill’s implications in this conversation with David Farhat and Stefane Victor. The panel explores the legislative process, the impact of dropped provisions such as Section 899 and key planning considerations. Tune in for their insights about how corporate stakeholders can navigate the new landscape.

Name: Eric Sensenbrenner

What he does: Eric represents clients on a broad range of U.S. and international tax matters, with a particular emphasis on transactional tax planning in the international context.

Organization: Skadden

Words of wisdom: “FDII is now becoming a much more interesting and much more robust tool for attracting investment, both for multinationals thinking about bringing assets back as well as perhaps for inbound investment as well.”

Connect: LinkedIn

Name: Loren Ponds

What she does: Loren leverages her extensive tax policy experience to provide strategic counsel to clients across industries on a variety of legislative and regulatory issues.

Organization: Skadden

Words of wisdom: “I can speak from experience working on the Hill: When you think you're gifting taxpayers something in a provision, and all you get is pushback, it becomes very easy for that provision to disappear from the final bill, particularly when we're talking about the cost, in addition to the poor reception.”

Connect: LinkedIn

Name: Paul Oosterhuis

What he does: Paul is an internationally recognized senior tax practitioner with extensive experience in cross-border mergers and acquisitions, post-acquisition integration, spin-offs, internal restructurings and joint ventures.

Organization: Skadden

Words of wisdom: “From my perspective, maybe the Trump administration should be talking to those countries about being more lenient in allowing U.S. companies to bring back their IP. Maybe they could get breaks on their tariffs, for example, if they decided to suspend their rules on U.S. companies bringing back their IP.”

Connect:...

The stakes are high. That’s how Skadden national security partner Brooks Allen sets the stage for the U.S. Supreme Court case surrounding President Trump’s tariff policy. And that case is just one dynamic in today’s “revolutionary” tariff environment. Brooks joins Skadden tax partner Jonathan Welbel and Ryan principal Rodrigo Fernandez to break down key issues affecting tariffs and transfer pricing. Hosts David Farhat and Stefane Victor moderate the discussion, which includes a look at scenario modeling and analysis, intercompany agreements and the need for coordinated tax and customs planning in today's trade landscape.

Top takeaways from this episode

• Revolutionary Change: Brooks explains that the tariff landscape has shifted in the last nine months, from a situation where the United States had an average tariff rate around 2.4% to well over 10% applied tariffs.
• Valuing IP Rights: Tariffs can significantly impact IP valuations. Rodrigo emphasizes that fluctuations in IP valuation due to tariffs can create significant uncertainty and potential disputes.
• Intercompany Agreements: These will become critical because they govern consequences on both the tax side and the customs side. “For whatever planning is being put in place from a customs perspective, one of the key components is getting the legal agreements in place,” Jonathan observes.

Name: Rodrigo Fernandez

What he does: Rodrigo specializes in providing transfer pricing, business and intangible property valuation, and other valuation-related projects to clients in a variety of industries, including energy, aerospace, telecommunications and software.

Organization: Ryan

Words of wisdom: “The other thing is thinking about recovery options. So, there's a whole little cottage industry now being set up on customs duty recoveries… So, you applied this tariff, it got reversed, now we're going to go recover it. There's a whole industry around that.”

Connect: LinkedIn

Name: Jonathan Welbel

What he does: Jonathan has extensive experience counseling on tax controversy, transfer pricing and other international tax issues.

Organization: Skadden

Words of wisdom: “What we really need is a customs and tax competent authority proceeding. There's no system in place right now, and that is going to be a big problem down the line.”

Connect: