THE debate about how best to reform U.S. corporate tax policy has focused almost exclusively on making U.S. corporations more competitive globally. But the debate often glosses over tax policy's effect on the ultimate beneficiaries of corporate success and failure—U.S. corporate stakeholders. The assumption often has been that healthy, competitive U.S. corporations equal healthy stakeholders—including shareholders, employees, and the U.S. populace as a whole. However, recent economic research has brought the assumption of "trickle down" success into question. This Article suggests an alternate path focused on enhancing the competitiveness of U.S. MNCs in the global economy while enhancing the welfare of U.S. corporate stakeholders. The Article concludes by suggesting an incremental reform to the current Subpart E regime that would allow U.S. MNCs to repatriate assets currently trapped in CECs at a low tax cost in exchange for targeted domestic re-investment commitments. This normative solution would have a substantially lower net federal budgetary cost to implement than other proposals currently circulating. [ABSTRACT FROM AUTHOR] Copyright of Villanova Law Review is the property of Villanova University School of Law and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)
Is United States Corporate Tax Policy Outsourcing America - A Critical Analysis of the Proposed Tax Holiday for Trapped CFC Earnings,
Vill. L. Rev.
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