{"id":4766,"date":"2017-09-30T14:56:20","date_gmt":"2017-09-30T12:56:20","guid":{"rendered":"http:\/\/13.40.31.108\/?p=4766"},"modified":"2017-09-30T14:56:20","modified_gmt":"2017-09-30T12:56:20","slug":"president-donald-trumps-new-tax-reform-plan-would-drop-corporate-rates-to-20-percent","status":"publish","type":"post","link":"https:\/\/ustaxconsultants.es\/es\/president-donald-trumps-new-tax-reform-plan-would-drop-corporate-rates-to-20-percent\/","title":{"rendered":"President Donald Trump\u2019s new tax reform plan would drop corporate rates to 20 percent"},"content":{"rendered":"
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Meanwhile, the framework \u2014 to be unveiled today \u2014 makes major changes to taxes on foreign earnings.<\/h2>\n
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President Donald Trump and his Republican allies in Congress will propose an overhaul to the U.S. tax code today that would lower the rate corporations pay and make major changes to the way that tech giants and other businesses are taxed on profits earned overseas.<\/p>\n

Some of those changes sound in spirit like the sort of reforms that Apple, Google, Microsoft, IBM and others have lobbied Congress to adopt for many years. But Trump\u2019s plan, which he will unveil during a speech in Indianapolis this afternoon, lacks many of the details that Silicon Valley likely needs in order to assess what the reforms actually mean for their bottom lines.<\/p>\n

To start, corporate tax rates would fall under Republicans\u2019 new framework to 20 percent, down from their current rate of 35 percent, senior Trump administration officials said this week.<\/p>\n

It\u2019s not the low rate of 15 percent that Trump had initially proposed, an idea that drew sharp skepticism even among Republicans in Congress. But the new 20 percent rate is coupled with a provision that allows companies to write off capital spending for the next five years, the administration officials explained on a briefing with reporters.<\/p>\n

Taken together, it could mean smaller tax bills for the tech industry, depending on how the coming debate on Capitol Hill pans out. Abroad, meanwhile, the White House has proposed more sweeping reforms.<\/p>\n

At the moment, the U.S. government taxes multinational companies on a worldwide basis \u2014 which means they have to pay U.S. rates no matter where they generate their income. Typically, though, that only happens when those companies return, or repatriate, their foreign profits to the United States.<\/p>\n

That\u2019s why so many tech giants have opted to stash billions of dollars overseas or reinvest them, aiming to avoid the 35 percent U.S. tax on those earnings. Apple, for example, has $246 billion in profits sitting overseas.<\/p>\n

\"Tech