# Federal Acquisition Regulation; Tax on Certain Foreign Procurement
> **US Department of Defense** · Final rule. · Published 2020-05-06 · Effective 2020-06-05 · 85 FR 27098
## Document
- **Document number:** 2020-07110
- **Category:** other
- **Sub-agency:** US Department of Defense
- **Federal Register citation:** 85 FR 27098
- **CFR reference:** 48 CFR 1
- **Publication date:** 2020-05-06
- **Effective date:** 2020-06-05
- **DOD docket:** FAC 2020-06
## Abstract

DoD, GSA, and NASA are issuing a final rule amending the Federal Acquisition Regulation (FAR) to withhold a 2 percent tax on contract payments made by the United States Government to foreign persons pursuant to certain contracts. This rule applies to Federal Government contracts for goods or services that are awarded to foreign persons.

## Source
- [Federal Register document](https://www.federalregister.gov/documents/2020/05/06/2020-07110/federal-acquisition-regulation-tax-on-certain-foreign-procurement)
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