Representative Shelley Berkley, a Nevada Democrat, is the latestlawmaker to consider legislation allowing multinational companiesto send offshore profits to the U.S. at a reduced tax rate.

Her proposal, which was confirmed yesterday by Berkley'scommunications director, David Cherry, would allow companies toreturn profits to the U.S. at a 25 percent tax rate, 10 percentagepoints below the maximum statutory rate. Most companies publiclysupporting a holiday, such as Duke Energy Corp., have spokenfavorably of the 5.25 percent rate that is being offered byRepresentative Kevin Brady, a Texas Republican.

Berkley's openness is a sign of further thawing in Democraticopposition to a repatriation holiday, which they have argued wouldbe a giveaway to companies that wouldn't have to use the money tocreate jobs. As recently as 2009, 48 members of the SenateDemocratic caucus opposed a proposed repatriation holiday.

Continue Reading for Free

Register and gain access to:

  • Thought leadership on regulatory changes, economic trends, corporate success stories, and tactical solutions for treasurers, CFOs, risk managers, controllers, and other finance professionals
  • Informative weekly newsletter featuring news, analysis, real-world cas studies, and other critical content
  • Educational webcasts, white papers, and ebooks from industry thought leaders
  • Critical coverage of the employee benefits and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.