Some large American insurance companies are seeking clarity from regulators on a vaguely worded tax provision that threatens to pinch their bottom line. The provision is known as the Base Erosion and Anti-Abuse Tax, or BEAT, and was added into last year’s comprehensive Republican tax law. It broadly aims to keep companies from skirting taxes by shifting profits to overseas affiliates with lower tax rates. Within the provision, lawmakers tacked on about 40 words aimed specifically at the insurance industry in hopes of evening...

Source: Wall Street Journal August 21, 2018 09:33 UTC