What International, Corporate, Estate, and Individual Taxes May Look Like Over the Next Four Years
By Anthony Diosdi With the Democrats gaining control of the executive and legislative branch of the government, there will likely be major changes to the Tax Code. Recall that in the 2017, the Tax Cuts and Jobs Act overhauled the corporate and international systems. The Tax Cuts and Jobs Act reduced the corporate income tax rate from a maximum rate of 35 percent to 21 percent. The Tax Cuts and Jobs Act also enacted the global low-taxed income (“GILTI”) and the foreign-derived intangible income (“FDII”) tax regimes. President-elect Joe Biden seeks a major overhaul of the U.S. corporate income tax system. The Biden team also proposes significant changes in the way cross-border transactions are taxed. We will begin with a discussion regarding the proposed corporate tax rate increase. During the…