b7e6ac1ceb9a5773fc7b8a85c5ce5be4 Archive

TweetShareSharePin0 Shares Corporate tax reforms introduced by the 2017 Tax Cuts and Jobs Act (TCJA) encouraged foreign-owned US companies to reinvest more of their earnings here, according to a new TPC study. The study also finds a positive relationship between the TCJA tax cuts and foreign-owned companies’ investment in US tangible assets. Foreign investment accounts

TweetShareSharePin0 Shares The recent runup in oil prices and general inflation have boosted tax benefits from the “last-in, first-out” (LIFO) inventory accounting tax break. LIFO tax expenditures, or foregone federal tax revenues, are concentrated in the petroleum industry, which is posting record profits. Repealing the LIFO option now would efficiently raise substantial revenue while reducing

TweetShareSharePin0 Shares The Build Back Better (BBB) bill’s winter holiday gives Congress more time to evaluate the plan’s components, including a 15 percent minimum tax on the book income of very large US corporations. The minimum tax could raise significant revenue—an estimated $320 billion over 10 years. But the price would be increased economic distortions

TweetShareSharePin0 Shares The Build Back Better proposal for a 1 percent excise tax on corporate share buybacks would reduce their tax advantage relative to dividend distributions. Equivalent to a corporate tax rate increase of 0.8 percent on earnings distributed as share repurchases, the new tax would generate about $124 billion over 10 years and could

TweetShareSharePin0 Shares US taxation of intellectual property (IP) is facing big changes. Starting next year, research and development (R&D) expenditures, now fully expensed (written off in the year in which they are acquired), must be capitalized and amortized over a period of 5 to 15 years. Additionally, President Biden would repeal a special tax deduction