What is a tax shelter? Q.What is a tax shelter? A.Tax shelters are ways individuals and corporations reduce their tax liability. Shelters range from employer-sponsored 401(k) programs to overseas bank accounts. Read more about What is a tax shelter?
What are the consequences of the new US international tax system? Q.What are the consequences of the new US international tax system? A.Despite enactment of the 2017 Tax Cuts and Jobs Act, which reduced these incentives, current rules still encourage US multinational firms to earn and report profits in low-tax foreign countries, enable both US- and foreign-based firms to shift profits earned in the United States to other countries, and encourage companies to incorporate in foreign jurisdictions. Read more about What are the consequences of the new US international tax system?
How does the current system of international taxation work? Q.How does the current system of international taxation work? A.All countries tax income earned by multinational corporations within their borders. The United States also imposes a minimum tax on the income US-based multinationals earn in low-tax foreign countries, with a credit for 80 percent of foreign income taxes they’ve paid. Most other countries exempt most foreign-source income of their multinationals. Read more about How does the current system of international taxation work?
