Thread: Iraq/Dinar News until 5/23/07 Midnight CST

Originally Posted by blackwulf

Okay, is there any articles saying what status they are applying under the WTO (market or non)? Personally, I am looking toward the HCL and ISX as the trigger.

article 8 free-market status.

An initial report on the constitutional amendments before the parliament.

(صوت العراق) - 17-05-2007

(Voice of Iraq) - 17-05-2007

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Next Monday .. An initial report on the constitutional amendments before the parliament.

Baghdad / long
The statement issued by the Office of the Chairman of the constitutional amendments received (long) copy of yesterday, Wednesday, the Commission also identified the constitutional amendments proposed by the political blocs and civil society institutions and other interested parties.
The statement said the Committee summarized what has been reached during the ongoing meetings since it was formed by the Chamber of Deputies, and they briefed the Presidency of the Parliament in its meeting held for that purpose.

He refused Dr. Fouad Massoum member of the Constitutional Review Commission to give any details on the proposed amendments to be presented to the Parliament for discussion.

..

He told (long) via phone at his office in Baghdad ..We have a moral obligation to not professing on this topic until next Monday. "

Observers expected that on Monday set d. Massoum may witness in the recent presentation of constitutional amendments to parliament for discussion.
His new vice president, Tariq Al-Hashmi commitment to his position and the position of the Islamic Party of constitutional amendments expected.
Hashemi said in a statement issued by his office yesterday, Wednesday, received a (long) copy, it renews its position and the position of the Islamic party firm on the issue of amending the Constitution, pointing out that he would have "political and historical position in the event of failure to implement what was agreed on the amendment of the Constitution."
The statement added that, "Hashemi said at a meeting on Tuesday evening was attended by members of the Presidential Council (President and Vice) and attended by Prime Minister Nuri al-Maliki" leaders of the political blocs about the obligations of article 142. "
Salim al-Jabouri was a member of Parliament and member of the committee that conducted the amendments to the Constitution had said last Tuesday that the Commission submitted its report on a review of the constitution to the parliament on Tuesday that although the committee did not reach a definitive solution to a number of issues.
He added that the committee members agreed on an initial report and the Committee members now consult with their political parties on the proposals.
The statement said that parties gathered Hashemi agreed "to continue such meetings to resolve some of the files and issues."
The Iraqi Islamic Party headed by Hashemi announced Tuesday that he had no "problem in granting the Commission more time to study and consultation and consensus so finding could make recommendations appropriate process nationally agreed."
The party said in a statement published on its web site that "the committee has not completed until (Tuesday) reviewing several of the key issues contested and thus it is expected to extend the period for a week or more."
The party in his main points, which is still controversial political parties which "powers relating to the validity Territories (and the law) management of oil, gas and reference and the primacy of the Constitution and federal laws."

Translated version of http://www.sotaliraq.com/

Originally Posted by shotgunsusie

actually, in order to be a member they must have a convertible currency which presently they do not. so, the revalue would need to occur previous to the ascension i believe.

Is the VND fully convetable? If not how did Vietnam gain entry?

Originally Posted by PAn8tv

Is the VND fully convetable? If not how did Vietnam gain entry?

Good question. Would like to know how the Dong is going to RV or increase in Value. What are the speculations there? Maybe these questions need to be in the other thread.

found this somewhere else im not sure if it has been posted here or not but wanted to post ithere just incase ,by the way this interview is a year old


''AC Question:
I know for over a year that Iraq Govt. CBI and Iraqi customs have been attempting to put a stop to the smuggling of Iraq Dinar out of the country. Do you think the smuggling has increased or decreased as the new Iraq government is almost completed? What is your feeling on the Iraq Dinar speculators that are holding the Iraq Dinar outside of Iraq?


CEO Al-Bunnia:
It has always been the case since many decades ago that Iraqi currency is not allowed to be exchanged or exported outside Iraq. The law is still on now. Nothing deters the Iraqi businessman(smuggler ) from looking at an opportunity and grasping it which will generate him huge profits. Even with sadam stringent fist and control could not stop the smuggling of the Iraqi dinar before the invasion of Kuwait (as after wards there was no value to the Iraqi dinar).My advise to those Iraqi dinar speculators is that they are taking the risk of by buying Iraqi dinar because I really do believe that the currency will be changed in the near future once the government is stabilized and settled and also there is a large number of fraudulent currency moving in the economy in which it will be difficult to control. The reason for that falls in two points. The first point is that the central bank of Iraq is putting an RFP to the supply of printing money machines. The second point, there is no signature of the governor of the central bank of Iraq on these notes which by law is not acceptable. ''
__________________________________________________ _________

Revenue Ruling


This is a IRS TAX RULING that that was made in 1974. It is still on the books for all currency. We fall under Section 1221 of the code. What it says in a nutshell is - If you keep this investment for 366 days or longer you pay Capital Gains of only 15%.

Rev. Rul. 74-7

1974-1 C.B. 198

Sec. 1031
Sec. 1221

IRS Headnote

Foreign currency reconverted into U.S. dollars. The reconversion of a foreign country's currency into U.S. dollars after a visit to that country by a U.S. citizen, not a dealer in foreign currency or engaged in a trade or business in that country, is not a like kind exchange under section 1031(a) of the Code. The foreign currency is a capital asset and any gain or loss realized on the reconversion is a capital gain or loss. I.T. 3810 superseded.

Full Text

Rev. Rul. 74-7 /1/

The purpose of this Revenue Ruling is to update and restate, under the current statute and regulations, the position set forth in I.T. 3810, 1946-2 C.B. 55.

The question presented is whether, after the conversion of United States dollars into foreign currency by a United States citizen traveling in the foreign country, the reconversion of the foreign currency into dollars may be treated as an exchange of property held for productive use in trade or business or for investment for property of a like kind to be held for productive use in trade or business or for investment, under section 1031 of the Internal Revenue Code of 1954. If not, the further question presented is whether the gain or loss realized on such a transaction by a taxpayer, who is not a dealer in foreign currency, constitutes capital gain or loss under section 1221 of the Code.

The taxpayer, a United States citizen, while traveling in a foreign country deposited United States dollars in a bank in that country. At his request, the bank converted these dollars to that country's currency for the taxpayer's personal use. The taxpayer was not a dealer in foreign currency and was not engaged in trade or business in the foreign country. During his travels there were no transactions in the foreign bank account. At the conclusion of his stay, the taxpayer requested the bank to reconvert the foreign currency to dollars and close his account. The value of the foreign currency, measured in terms of dollars, differed at the time the account was closed from the value when the account was opened.

Section 1031(a) of the Code provides, in part, that no gain or loss shall be recognized if property held for productive use in trade or business or for investment is exchanged solely for property of a like kind to be held either for productive use in trade or business or for investment.

In the instant case, the foreign currency does not constitute property held for productive use in trade or business or for investment, and therefore the reconversion is not a like kind exchange under section 1031(a) of the Code.

Section 1221 of the Code provides, in part, that the term "capital asset" means property held by the taxpayer, but does not include certain specified property. Section 1.1221-1(a) of the Income Tax Regulations provides, in part, that the term "capital assets" includes all classes of property not specifically excluded by section 1221.

In the instant case, the foreign currency is not excluded from the definition of capital assets contained in section 1221 of the Code.
Accordingly, the foreign currency is a capital asset and any gain or loss realized on the reconversion by the taxpayer is a capital gain or capital loss.

I.T. 3810 is hereby superseded, since the position stated therein is restated under the current law in this Revenue Ruling.

/1/ Prepared pursuant to Rev. Proc. 67-6, 1967-1 C.B. 576.

Originally Posted by PAn8tv

Is the VND fully convetable? If not how did Vietnam gain entry?

I read it in an article "somewhere" that (this is in line with my latest post on Iraq's application status) they got entry only if they'd agree to non-market status for 3 to 5 years. Under non-market status they don't have to have a revaled currency. However, I posted an article in the VND section a few days ago. That said Vietnam has grown so much that it will eventually have to reval.

Thanks one, and all for helping me understand the situation of RV and WTO.. after seeing the responses I fully understand what is going on now. BOB1940

Originally Posted by shotgunsusie

article 8 free-market status.

Thanks SGS! I forgot about that completely.

Originally Posted by shotgunsusie

actually, in order to be a member they must have a convertible currency which presently they do not. so, the revalue would need to occur previous to the ascension i believe.

Is that what article 140 will take care of? Will it make it a convertible currency?