KISS the Tax Blueprint Goodbye: Meet the 25-25-25 Plan
12 Pages Posted: 15 Aug 2017 Last revised: 16 Oct 2017
Date Written: August 15, 2017
Seeking definitive legislative success after the stall-out on healthcare, Congressional Republicans may want to keep it simple on tax reform. This paper examines the merits and demerits of a particular minimalist tax plan: lower the corporate tax rate to 25%; tax legacy foreign earnings at 25%; move to a “territorial” tax system for foreign earnings with a minimum tax patch at 25%. The paper uses analysis of this specific plan as a vehicle for clarifying some general considerations surrounding business tax reform.
Keywords: Tax Reform, Corporate Tax, Territorial, Repatriation, Competitiveness
JEL Classification: K34, H25
Suggested Citation: Suggested Citation