- 60 - credit. Implicated in this issue is the application of the "act of state" doctrine. (3) Whether the taking of the credit by EGPC for Amoco Egypt's taxes should be treated as a tax exemption, refund, or subsidy so as to require the conclusion that the Egyptian income taxes were not paid within the meaning of section 901. Analysis of this issue involves, among other considerations, the question whether EGPC, whose surplus was paid annually to the ARE, should be treated as an integral part of, or a separate entity from, the Government of the ARE and, in this context, whether the characterization of a subsidy can apply where the funds involved are, at all times, funds of the ARE. (4) Depending on our resolution of the foregoing issues, the impact on petitioner's foreign tax credits of the difference in exchange rates between the time of the payments by EGPC during the years in issue and its payment of its back taxes after the disallowance in 1992 of the credits it took for Amoco Egypt's taxes. One additional comment is necessary before turning to a detailed consideration of the above-described issues. Throughout these proceedings, respondent has sought to capitalize on the alleged variations over the years in petitioner's and its counsel's approach to the situation involved herein and on the activities of representatives or officers of petitioner and Amoco Egypt, including their counsel. Respondent has expresslyPage: Previous 50 51 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68 69 Next
Last modified: May 25, 2011