-49-
When Anglo-American and its progeny were decided,
the scale and nature of international business activity
was markedly different from today’s modern business
environment. At that time, international travel was a
time-consuming and cumbersome endeavor. Transatlantic
air travel was in its infancy, zeppelins and cruise
ships were the predominant means of travel. Books and
records were in paper, not electronic form. Data and
information was transmitted via mail.
In the years since Anglo-American, there have been
dramatic changes and increases in the nature and level
of international business activity. International air
travel is commonplace, taking hours instead of days.
Books and records are now maintained in electronic form
on computers. Data, information, and money are
transmitted around the world in electronic form.
Businesses have instantaneous access to information via
the internet. Documents are delivered via overnight
delivery or by facsimile.
Section 1.882-4(a)(2), Income Tax Regs., as amended in 1990,
states:
(2) Return necessary. A foreign corporation shall
receive the benefit of the deductions and credits
otherwise allowed to it with respect to the income tax,
only if it timely files or causes to be filed with the
Philadelphia Service Center, in the manner prescribed
in subtitle F, a true and accurate return of its
taxable income which is effectively connected, or
treated as effectively connected, for the taxable year
with the conduct of a trade or business in the United
States by that corporation. * * *
Section 1.882-4(a)(3)(i), Income Tax Regs., as amended in 1990,
goes on to set forth filing deadlines by which to measure whether
the timely filing requirement has been met. See supra note 4.
Section 1.882-4(a)(3)(ii), Income Tax Regs., as amended in 1990,
also states, without further explanation, that “The filing
deadlines set forth in paragraph (a)(3)(i) of this section may be
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