A summary of the top weekly tax developments in the Americas

     This week's tax news from the Americas

• Chile tax reform bill moves closer to enactment following congressional approval
  On 21 July 2026, the Chilean Chamber of Deputies approved substantially all previously proposed Senate amendments to a tax reform bill. The approved bill includes several significant tax measures, including a gradual reduction of the corporate income tax rate from 27% to 23% by 2029, a return to a fully integrated tax system, a temporary substitute tax regime for certain accumulated earnings, a targeted employment tax credit for qualifying knowledge-based service exporters and a revised tax stability regime for large-scale investments. While subject to some procedural and constitutional steps before becoming law, the bill’s principal tax measures are unlikely to change significantly at this stage, given the broad approval of both chambers of Congress.

• United States | Proposed regulations address the IRC Section 898(c) transition rule and the IRC Section 960(d)(4) foreign tax credit disallowance rule
  The IRS proposed regulations (REG-115145-25) on the repeal of the "one-month deferral election" in IRC Section 898(c)(2) by the "One Big Beautiful Bill" Act. The proposed regulations would allocate certain foreign income taxes that accrue during the mandatory, one-month "short year" caused by the election's repeal, as outlined in Notice 2025-72, with some modifications (see Tax Alert 2025-2608). The proposed regulations also provide effective date guidance on the disallowance under IRC Section 960(d)(4) of foreign tax credits claimed on certain previously taxed earnings and profits, as described in Notice 2025-77(see Tax Alert 2026-0178).

• US Section 232 proclamation establishes minimum import prices and a 15% tariff on polysilicon and derivative products
  On 6 August 2026, President Donald Trump issued a proclamation, "Adjusting Imports of Polysilicon and Its Derivatives Into the United States," adjusting imports of polysilicon and its derivative products under Section 232 of the Trade Expansion Act of 1962. The action follows a report from the Secretary of Commerce finding that imports of polysilicon and its derivatives are entering the United States in such quantities and under such circumstances as to threaten to impair the national security. The proclamation combines two remedies: (1) a minimum import price (MIP) program and (2) a 15% ad valorem tariff on polysilicon derivatives, with a company-specific onshoring incentive program. The stated intent is to establish a commercially viable domestic market for the full range of polysilicon and polysilicon derivatives, including semiconductor and solar-grade material. The tariff replaces a narrower safeguard on solar cells and modules that expired in February 2026.

      This week's newsletters

• Report on recent US international tax developments - 7 August 2026
  Our weekly report with brief summaries of all the week's US international tax developments and related activity.

• Trade Lines - 31 July 2026
  Our trade newsletter for global business leaders delivers timely insights into the issues shaping global commerce—from tariff shifts and supply chain disruptions to legislative developments and compliance trends.

      Upcoming EY webcasts

• 13 August: 2026 Alternative and Registered Funds Midyear Update
• 14 August: EY Center for Tax Policy monthly update – August 2026
• 16 September: Growth Engineering: Powering boost, build, buy with AI

A calendar of all upcoming EY webcasts is available.

      Recent EY podcasts

• EY Podcast | Weekly US international cross-border taxation news for week ending 7 August 2026
• EY talks tax | From awareness to action - increasing financial wellness, employee engagement (July 29, 2026)
• EY talks tax | Business and trade policy at the Trump Administration's midpoint (July 28, 2026)
• EY talks tax | BorderCrossings with EY transfer pricing and tax professionals (July 23, 2026)

All episodes of the EY Cross-Border Taxation Spotlight and
EY Talks Tax are available through Apple podcasts.

 
     This week's EY Global Tax Alerts

     Africa

• Ghana enacts new investment law substantially affecting technology transfer arrangements

     Europe

• Belgium announces proposed e-reporting requirements beginning in 2028
• Luxembourg moves closer to mandatory B2B e-invoicing
• Poland publishes draft legislation introducing digital services tax
• Portugal approves the Top-up Tax return - Modelo 64 - for Pillar Two purposes

 
     This week's EY Industry publications

     Banking and Capital markets

• How AI can power the next phase of credit union growth

     Compliance

• How technology companies can prepare for e-invoicing

     Mergers & Acquisitions

• Five ways food retail companies can use M&A now

     Mining and metals

• Trade policy and the 2026 redesign of critical mineral supply chains

     Tax

• What fragmented global tax cooperation means for business

     Technology

• The reckoning over AI cost and value has begun

Additional resources

Comments. If you have any questions or suggestions about this newsletter, please email Tax News Update Help at: ustaxalertshelp@ey.com.

About Americas Tax Roundup

Published by NTD's Tax Technical Knowledge Services Group, Washington, D.C.
Jennifer Mannetta, writer and editor

Distributed weekly to all Americas Tax personnel.