What is a territorial tax and does the United States have one now? Q.What is a territorial tax and does the United States have one now? A.Under a territorial tax, the United States would not tax profits earned overseas by US-resident corporations. The Tax Cuts and Jobs Act effectively exempted some of these profits, but retained taxation on some categories of foreign profits and imposed a new minimum tax on another. Read more about What is a territorial tax and does the United States have one now?
What is the TCJA base erosion and anti-abuse tax and how does it work? Q.What is the TCJA base erosion and anti-abuse tax and how does it work? A.The BEAT, a new tax under the Tax Cuts and Jobs Act, limits the ability of multinational corporations to shift profits from the United States by making deductible payments to their affiliates in low-tax countries. Read more about What is the TCJA base erosion and anti-abuse tax and how does it work?
What is the TCJA tax on global intangible low-taxed income and how does it work? Q.What is the TCJA tax on global intangible low-taxed income and how does it work? A.GILTI is the income earned by foreign affiliates of US companies from intangible assets such as patents, trademarks, and copyrights. The Tax Cuts and Jobs Act imposed a new minimum tax on GILTI. Read more about What is the TCJA tax on global intangible low-taxed income and how does it work?