Federal Court Strikes Down Treasury GILTI Regulation, Citing Supreme Court's 'Loper Bright' Decision

The U.S. Court of Federal Claims has struck down Treasury Regulation Section 1.951A-2(c)(5), which implements global intangible low-taxed income (GILTI) provisions, marking one of the first major applications of the Supreme Court's "Loper Bright Enterprises v. Raimondo" decision. The court ruled that the Department of the Treasury exceeded its statutory authority by issuing the regulation, concluding that neither general rulemaking authority nor specific sections of the Internal Revenue Code authorized the agency to eliminate the distinction between fiscal-year and calendar-year filers.