Just two weeks ago we hosted my parents, siblings, their spouses, and their children for Thanksgiving. We didn’t talk much about the Tax Cuts and Jobs Act (our 15 mouths were too full of food). Maybe we should have.
Republicans in the House are proposing sweeping corporate tax reform . Their proposals would effectively repeal the corporate income tax, currently levied at a 35 percent rate, and replace it with a new “destination-based cash-flow tax (DBCFT)” at a 20 percent rate for corporations and 25 percent for unincorporated businesses. The new tax would be border-adjustable – taxing imports and exempting exports.
Yesterday, my Tax Policy Center colleagues Steve Rosenthal and Lydia Austin published new research that could dramatically change the way we think about corporate taxes. They found that only about one-quarter of corporate stock is held by tax-paying investors—about half of what experts generally
Both Donald Trump and Ted Cruz say their tax plans would dramatically boost the economy by reducing taxes on new investment. According to the Tax Policy Center, both proposals would significantly cut taxes on investment and both would be far more generous than the Democratic hopefuls. However, Cruz