CONTINUEThis site uses cookies. By continuing to browse this site you are agreeing to our use of cookies. Find out more.
  1. Front Page
  2. News By Topic
  3. Democrats Introduce US Anti-Offshoring Bills

Democrats Introduce US Anti-Offshoring Bills

by Mike Godfrey,, Washington

05 June 2019

Three Democratic members of the United States Senate have introduced two tax bills designed to discourage US companies from shifting their operations overseas and establishing arrangements in low-tax jurisdictions.

The Removing Incentives for Outsourcing Act would:

  • Institute a "per-country" minimum tax instead of a blended or "global rate" under current law and eliminate companies' ability to deduct 10 percent of their return on tangible assets before the tax rate on foreign income applies.
  • Require the Joint Committee on Taxation to conduct a study of various proposals for taxing overseas income and evaluate the options according to whether the proposal minimizes opportunities for avoidance of US taxes and minimizes incentives for outsourcing American jobs.

The Disclosure of Tax Havens and Offshoring Act would require large corporations to disclose basic information on each of their subsidiaries, and country-by-country financial information on their subsidiaries in each country, including profit, taxes, employees, and tangible assets. While this information is already reported to the Internal Revenue Service under the OECD BEPS framework, the senators said that public disclosure of such data would shed additional light on how international tax laws are working and where corporations are locating their business activities and paying taxes.

The bills were introduced in the Senate on May 22, 2019, by senators Chris Van Hollen (D-MD), Amy Klobuchar (D-MN), and Tammy Duckworth (D-IL).

Similar proposals were introduced in the House of Representatives by Lloyd Doggett (D-TX) and in the Senate by Sheldon Whitehouse (D-RI), on March 13, 2019.

TAGS: tax | business | law | employees | offshore | transfer pricing | United States | Tax | BEPS

To see today's news, click here.


Tax-News Reviews

Cyprus Review

A review and forecast of Cyprus's international business, legal and investment climate.

Visit Cyprus Review »

Malta Review

A review and forecast of Malta's international business, legal and investment climate.

Visit Malta Review »

Jersey Review

A review and forecast of Jersey's international business, legal and investment climate.

Visit Jersey Review »

Budget Review

A review of the latest budget news and government financial statements from around the world.

Visit Budget Review »

Stay Updated

Please enter your email address to join the mailing list. View previous newsletters.

By subscribing to our newsletter service, you agree to our Terms and Conditions and Privacy Policy.

To manage your mailing list preferences, please click here »