Abstract

http://ssrn.com/abstract=2001578
 
 

Footnotes (199)



 


 



A Common Sense Corporate Tax: The Case for a Destination-Based, Cash Flow Tax on Corporations


William B. Barker


The Pennsylvania State University Dickinson School of Law

February 8, 2012

Catholic University Law Review, Forthcoming
Penn State Law Legal Studies Research Paper No. 1-2012

Abstract:     
The U.S. corporate income tax is flawed both domestically and internationally. This paper outlines a radical paradigm shift from corporate income tax to a destination-based cash flow tax on corporations. This tax adopts a more economically coherent and justifiable tax base for corporations which overcomes the principle theoretical and practical defects of the income tax by eliminating all differences in characterization of income and expense in the tax base, eliminating completely the foreign tax credit or deductions for foreign taxes and substantially reducing the incentives for transfer pricing abuses. The destination cash flow tax accomplishes these goals in a way that reverses the bias in the present income tax system in favor of foreign production and supports domestic business activity by both foreign and domestic corporations by promoting the U.S. production of goods and services and research and development, and the U.S. location of headquarters and administration.

Number of Pages in PDF File: 65

Accepted Paper Series





Download This Paper

Date posted: February 8, 2012 ; Last revised: May 4, 2012

Suggested Citation

Barker, William B., A Common Sense Corporate Tax: The Case for a Destination-Based, Cash Flow Tax on Corporations (February 8, 2012). Catholic University Law Review, Forthcoming; Penn State Law Legal Studies Research Paper No. 1-2012. Available at SSRN: http://ssrn.com/abstract=2001578

Contact Information

William B. Barker (Contact Author)
The Pennsylvania State University Dickinson School of Law ( email )
150 South College Street
Carlisle, PA 17013
United States
Feedback to SSRN


Paper statistics
Abstract Views: 867
Downloads: 226
Download Rank: 79,086
Footnotes:  199

© 2014 Social Science Electronic Publishing, Inc. All Rights Reserved.  FAQ   Terms of Use   Privacy Policy   Copyright   Contact Us
This page was processed by apollo6 in 0.281 seconds