How Ron Wyden Wants to Weaken Taxes on Multinationals

Source: The American Prospect
by Reuven Avi-Yonah

“Multinationals evade a lot of U.S. taxes by taking advantage of loopholes that allow them to book profits in tax havens and otherwise avoid taxation. A recent estimate has put the revenue lost to the U.S. from such profit-shifting before the 2017 Trump tax law at $100 billion per year. Trump’s tax changes only made this worse, because they actually encouraged multinationals to shift not just profits, but actual jobs, offshore. The Biden administration came out with a proposed reform in March that would reverse the Trump changes and add other significant improvements. Now, Sen. Ron Wyden of Oregon, the chair of the Senate Finance Committee, is out with a proposal much weaker than the administration’s. Last April, I wrote in these pages about Wyden’s initial proposal. Last week, Wyden unveiled further details of his plan.” (09/02/21)