What does Loophole Expansion have to do with Tax Reform?
“Many companies are seeking to lower the federal tax rate that publicly-traded and other ‘C’ corporations pay on taxable income,” writes Philip Cohen, a professor at Pace University’s Lubin School of Business. “This is in line with a broad consensus that U.S. corporate (and perhaps individual) tax rates should be lowered, with the revenue lost from this effort made up for by limiting or eliminating certain exemptions and deductions, which is often referred to as broadening the base.
“Some of this effort has been characterized as loophole closing. While not a popular view among the U.S. corporate tax community, some have argued that loophole closing should also be used to raise additional revenue to pay-down deficits and stimulate job creation in the U.S. ”
Read his op-ed on The Hill’s Congress Blog.