San Jose Mercury: Trump tax plan could lure Silicon Valley companies’ cash hoards back to U.S.
media mention“Whether a tax holiday for these firms is good for the U.S. economy and taxpayers is a different issue.
‘It’s a terrible idea. Giving any kind of a lower tax rate on these profits amounts to rewarding bad actors for trying to dodge taxes,’ said Matthew Gardner, senior fellow at The Institute on Taxation and Economic Policy.
Key to the outcome from a special tax break would be whether it allows companies to continue deferring taxes on overseas income until it’s repatriated, Gardner said. Trump had earlier proposed ending the deferral, but that proposal was not included in his official tax plan. Keeping the deferral would encourage firms to continue stockpiling money overseas in expectation of future tax holidays, Gardner said.”
Whether a tax holiday for these firms is good for the U.S. economy and taxpayers is a different issue.
“It’s a terrible idea. Giving any kind of a lower tax rate on these profits amounts to rewarding bad actors for trying to dodge taxes,” said Matthew Gardner, senior fellow at The Institute on Taxation and Economic Policy.
Key to the outcome from a special tax break would be whether it allows companies to continue deferring taxes on overseas income until it’s repatriated, Gardner said. Trump had earlier proposed ending the deferral, but that proposal was not included in his official tax plan. Keeping the deferral would encourage firms to continue stockpiling money overseas in expectation of future tax holidays, Gardner said.Whether a tax holiday for these firms is good for the U.S. economy and taxpayers is a different issue.
“It’s a terrible idea. Giving any kind of a lower tax rate on these profits amounts to rewarding bad actors for trying to dodge taxes,” said Matthew Gardner, senior fellow at The Institute on Taxation and Economic Policy.
Key to the outcome from a special tax break would be whether it allows companies to continue deferring taxes on overseas income until it’s repatriated, Gardner said. Trump had earlier proposed ending the deferral, but that proposal was not included in his official tax plan. Keeping the deferral would encourage firms to continue stockpiling money overseas in expectation of future tax holidays, Gardner said.