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US corporate tax reform: have the seeds been planted and is there a deal to be done? - The US Senate has worked on a possible tax package since January. But no clear consensus has emerged on a larger package. Projected Tax Revenue - The real focus is on corporate tax reform, (Fiscal Year 2015) Excise Taxes spurred on by the inversion debate. ‘i 395 Paras in Isc. o - In the Senate, a bipartisan bill was offered to “7. ne a encourage corporate profits abroad to repatriate Corporate Income at a significantly lower rate (the Portman- ( Taxes Schumer bill). \ i - In the House, a plan was offered in late July \ - . . ndividual Income that would allow corporations to repatriate at a aN Taxes lower rate if they invested in “research and “ 46% development’ (the Boustany-Neal bill). The revenue from the deal would pay for the Highway Trust Fund — which needs money. - What is interesting for both bills is what did not happen: The White House remained silent. Payroll Taxes 32% - Could Congress (in league with US Treasury) slip a major corporate tax report into the appropriations bill using the “Reconciliation” process? Source: OMB Deutsche Bank Francis J. Kelly Global Public Affairs francis.j.kelly@db.com 4 HOUSE_OVERSIGHT_026798