State and local taxation In 1992, when the
State of Maryland changed its income tax laws with retroactive effect, several international organizations pointed out that their foreign employees were exempt from income taxes due to the relevant treaty and that, while the IOIA shielded them from federal taxes, this was not the case for state and local taxes. Subsequently, on May 14, 1994, the President signed and brought into force the
Agreement on State and Local Taxation of Foreign Employees of Public International Organizations.
Attempt to amend the act A bill called H.R. 3269 was introduced to the
109th United States Congress on July 13, 2005. The bill called for an amendment in the International Organization Immunities Act so the
Bank for International Settlements would be recognized as an international organization under the Act. The
United States House of Representatives passed the H.R. 3269 bill on December 6, 2005. The Senate referred the bill to the Committee on Foreign Relations; that was the last action taken regarding H.R. 3269. As a result, the bill did not become a law.
Interpol controversy In 1983, President
Ronald Reagan extended certain benefits to the
International Criminal Police Organization(Interpol). Some of these benefits included immunity from lawsuits and prosecution. Likewise in 2009, President
Barack Obama granted certain benefits found in the IOIA to Interpol. Conservative bloggers and people such as former Speaker
Newt Gingrich did not support the President extending privileges, exemptions, and immunities to Interpol. Conservative bloggers claimed that by increasing the privileges and immunities Interpol received, the President was allowing an international police to run amok without legal restraint. They also believe that it is a plot to allow international courts to arrest and prosecute American officials. Government and Interpol officials claim people are overreacting and are against Interpol receiving privileges, immunities, and exemptions because they do not know how Interpol functions. For example, Interpol does not make arrests (a common misconception) and it does not have a police force. Instead, Interpol shares information and files with the 188 countries it serves.
Rachel Billington states that the national police force makes arrests based on national laws. ===
Jam v. International Finance Corporation (IFC) === In 2019, the
United States Supreme Court ruled that the IOIA did not grant international organizations absolute immunity. Rather, it ruled that, like foreign governments, international organizations could be sued under federal law for their commercial activities. This was a rejection of longstanding jurisprudence which held that international organizations shared the same expansive
sovereign immunity enjoyed by foreign governments in 1945 (when the IOIA was first enacted) even though Congress had placed restrictions on foreign governments' sovereign immunity in subsequent legislation, including the
Foreign Sovereign Immunities Act. == See also ==