By addressing unfair tax breaks given to U.S.-based multinational corporations, Congress can help level the playing field for wholly domestic businesses, end incentives for offshoring, and raise more than one trillion dollars in new revenues.
Congress must use the upcoming 2025 tax fight as an opportunity to eliminate incentives for U.S. multinationals to ship jobs and profits offshore, raise much-needed revenues to pay for policy priorities and reduce deficits, and level the playing field for domestic businesses and workers.
With negotiations surrounding the expiration of large parts of the 2017 Tax Cuts and Jobs Act already underway, lawmakers must move quickly to close costly loopholes, prevent offshoring of jobs and profits, and provide adequate tax transparency for U.S. multinational corporations.
WASHINGTON, D.C. — Senate lawmakers introduced legislation Thursday that would make it harder for multinational corporations to game the offshore provisions in the newly adopted tax overhaul. Sponsored by Sen. Amy Klobuchar (D-MN), the Removing Incentives for Outsourcing Act (S.3674) would ensure that tax rates for profits booked offshore are applied on a per-country basis, rather than on a worldwide average basis — reducing the chance of gaming.
The FACT Coalition filed a comment on November 26, 2018 with the Internal Revenue Service (IRS) on proposed rules for the implementation of TCJA provisions. The full letter can be read below or downloaded here.
