Always Had Effective Rate
Review Program: States that CMS determined to have effective rate
review programs for all major types of carriers (ie, for-profit insurers, non-profits, and health maintenance organizations [HMOs]) for each of its reviews, and based on our analysis, had already met CMS's effectiveness criteria when the ACA was enacted.
Unfortunately, most MRSK branches have underperformed the regulatory benchmarks for controllable operating costs, and in some cases, by extremely wide margins, which led to lower effective rates
of return on RAB.
Although statutory rates ranged from a high of 20% to a low of 3%, for most states the range related to the effective rate
the credit was narrow and much lower.
But the Finance Ministry argues the effective rate
of Japan's corporate tax has already been cut to internationally acceptable levels.
The reduction in the overall marginal rates and the lowering of the effective rates
for married taxpayers create a general rule for the use of the NOLs--an NOL should be used against income taxed at the highest marginal rate.
That means capital gains will be taxed at an effective rate
Section 954(b)(4) of the Internal Revenue Code provides that income otherwise taxable under Subpart F may be excluded if the taxpayer establishes that such income was "subject to an effective rate
of income tax imposed by a foreign country greater than 90 percent" of the U.
Over the life of the new license, the estimated effective rate
of the fixed payments and royalties is expected to be approximately half of the effective rate
in recent years under the current license.
A managed compliance agreement or effective rate
agreement is a written agreement, generally entered into following the completion of an audit.
An excess credit position means a higher effective tax rate due to inefficient use of foreign taxes paid; an excess limitation position means a higher effective rate
due to inefficient use of foreign-source income.