Corporate Tax Reform

Inside Apple's push for comprehensive corporate tax reform

Mon, 20 May 2013 19:29:00 GMT

Source: appleinsider.com --- Monday, May 20, 2013
When Apple Chief Executive Tim Cook testifies before the U.S. Senate this week, he will make his case for comprehensive Corporate Tax Reform, arguing that the current Tax system actually undermines the competitiveness of American companies. ...

Marineau: International Corporate Tax Reform

Mon, 20 May 2013 17:11:01 GMT

Source: taxprof.typepad.com --- Monday, May 20, 2013
Paul K. Marineau (Thomas Cooley), International Corporate Tax Reform: It's Time to "Walk-the-Talk" (No More Platypuses, Please), 40 Syracuse J. Int'l L. & Com. 29 (2012): it is the position of this article that a well-designed and comprehensive full-inclusion Tax system for taxing a U.S. corporation's foreign-source income is the... ...

Google’s chief supports corporate tax reform

Mon, 20 May 2013 09:18:36 GMT

Source: www.finfacts.ie --- Monday, May 20, 2013
Eric Schmidt, Google’s executive chairman, on Sunday gave support to Corporate Tax Reform - - quite a change from last December when he dismissed critics of Tax avoidance. ...

Apple CEO Cook To Propose Major Corporate Tax Reform

Fri, 17 May 2013 21:10:00 GMT

Source: www.investors.com --- Friday, May 17, 2013
Washington wants to get its mitts on Corporate America's offshore profits and Apple CEO Tim Cook plans to tell Congress what it'll need to do to get a share of it. Cook is scheduled to testify Tuesday at the U.S. Senate Committee on Homeland Security and Governmental Affairs, Permanent Subcommittee on Investigations. The hearing is set to start at 9:30 a.m. ET. Cook and two lieutenants, CFO Peter Oppenheimer and Phillip Bullock, head of Tax operations, are on the second of three panels called as witnesses. The hearing will examine "the structures and methods employed by multinational corporations to shift profits offshore and how such activities are affected by the Internal Revenue Code and related regulations," the agenda says . Apple (AAPL) is the poster child for hoarding foreign profits overseas. It has more than $100 billion in offshore cash and investments. Like other large companies, Apple sees little reason to repatriate those profits because they'd face a steep U.S. Tax bill if they did. In fact, Apple recently decided to borrow billions to pay for cash dividends and share buybacks because that made better financial sense than to bring foreign profits home. Cook has shared his talking points ahead of the hearing in interviews this week with Capitol Hill reporters. He will offer ideas for comprehensive Tax Reform. In an interview with Politico , Cook made it clear that Apple is not dodging any of its U.S. Tax liabilities. ...

The Challenge of Corporate Tax Reform

Wed, 08 May 2013 20:07:54 GMT

Source: crfb.org --- Wednesday, May 08, 2013
Tax Reform has many moving pieces to it and many questions that need to be answered. One question is whether the two pieces should be handled together, separately, or whether lawmakers should only do one or the other. Tax Policy Center's Donald Marron points out that it is much easier to consider stand-alone individual Tax Reform than Corporate Tax Reform. While the individual Tax code in 2013 has more than $1.1 trillion worth of Tax expenditures, the Corporate code has only $150 billion. A bigger issue is the fact that a sizeable portion of that $150 billion -- $81 billion -- is from Tax expenditures that benefit both corporations and pass-through businesses that are taxed through the individual code. Furthermore, the main Corporate-exclusive Tax expenditure is the deferral of foreign income for multinational companies, which is in some sense a design feature of the international Tax code that could be dealt with in a number of ways that don't involve elimination. If that Tax expenditure is left alone or only partially reduced, the prospect of dipping into Tax preferences that affect both types of businesses increases. In our Corporate Tax paper , we noted that reducing or eliminating "cross-over" Tax preferences raises questions of fairness with stand-alone Corporate Reform, since pass-throughs are adversely affected by the base-broadening without the benefit of any potential rate reduction. Essentially, the pass-throughs would ...

New Study from Treasury Analysts Highlights Risk of Corporate Tax Reform Trap

Tue, 07 May 2013 19:00:53 GMT

Source: www.offthechartsblog.org --- Tuesday, May 07, 2013
We explained recently that Corporate Tax Reform could become a trap if policymakers start by setting a Tax rate so low that they have trouble scaling back deductions and other preferences enough to offset the costs. If so, that Reform not only could fail the key test of reducing long-term deficits, but it actually could expand them. A new paper by Treasury Department analysts on the biggest business subsidy in the Tax code, “accelerated depreciation,” highlights the danger. This Tax break, which cost $22.5 billion in 2012, allows businesses to deduct over time the cost of investments like new equipment more quickly than those assets actually lose value. The analysis confirms that ending accelerated depreciation (so that businesses’ deductions had to more closely reflect the rate at which assets deteriorate) saves much less revenue in the second ten years (and even less in the ten years after that) than in the first ten years — the timeframe that Congress uses to assess legislation. (See graph.) In other words, a Corporate rate cut that policymakers could pay for in the first ten years by ending accelerated depreciation would add billions to deficits over the long run. Policymakers should resist the temptation to rely on just such timing gimmicks to enact Corporate Tax Reform that includes costly new cuts in Tax rates. Like ending accelerated depreciation, many other Corporate Tax reforms would raise more revenue in the first ten ...

Stand-alone corporate tax reform faces a big practical challenge.

Mon, 06 May 2013 15:53:13 GMT

Source: www.facebook.com --- Monday, May 06, 2013
Stand-alone Corporate Tax Reform faces a big practical challenge. A Practical Challenge to Stand-Alone Corporate Tax Reform www.taxpolicycenter.org Leaders in both parties appear to favor revenue-neutral Corporate Tax Reform that would lower today's 35 percent Tax rate while slashing Corporate Tax breaks. Individual Tax Reform appears much more contentious, so some observers wonder whether Congress might pursue Corporate Tax Reform by itself, s... ...

Widespread corporate tax reform agreement, little chance for change

Fri, 03 May 2013 13:08:53 GMT

Source: assets.bizjournals.com --- Friday, May 03, 2013
In a rare spasm of bipartisan agreement, President Barack Obama, Democrats, Republicans and business all agree Corporate Tax Reform needs fixing, but no one wants a favorite slice of the pie to go away, The New York Times reports. The United States charges the highest Corporate Tax rate of any industrialized nation, and politicians and business leaders alike agree it must be reformed, the report said. The rate now stands at 35 percent, and the 80 or so business Tax exemptions totaled about $181… ...

OECD calls for corporate tax reform

Sun, 28 Apr 2013 20:15:00 GMT

Source: www.ft.com --- Sunday, April 28, 2013
Netherlands attracted FDI of $3.5tn by the end of 2012 with stocks of $3.5tn, while Luxembourg booked $2.28tn in inbound foreign direct investment ...