Skip to Content
Professional in suit writing in notebook
In The News

Tax strategies for foreign earnings

February 3, 2020 / 1 min read

The Tax Cuts and Jobs Act brought clarity for some companies earning foreign income and new layers of complexity for others. With new IRS guidance for 2019, it’s smart to take a long view. Learn more via Industry Today.

The headline-grabbing change brought about by the Tax Cuts and Jobs Act enacted at the end of 2017 was easy enough to grasp. The idea was that by offering U.S. companies a one-off, reduced tax rate of 15.5%, C corporations would have an incentive to bring home the more than $2 trillion in untaxed profits accumulated abroad. The offshore stash would otherwise have been taxed at 35% upon repatriation.

In exchange for that, put simply, companies got to pay practically zero U.S. tax on their foreign subsidiaries’ profits going forward as part of the shift from a global corporate tax system to a territorial one. 

Read More

Related Thinking

Tax experts walking out of an office building onto a city street.
April 15, 2025

Tax policy perspectives: April 2025

Article 16 min read
Street sign.
April 15, 2025

Transfer pricing agility offers protection against trade tariffs

Article 4 min read
View of the U.S. Capitol from a distance during evening hours
February 28, 2025

Tax policy perspectives: February 2025

Article 16 min read