The Tax Cuts and Jobs Act.docx - The Tax Cuts and Jobs Act...

This preview shows page 1 out of 1 page.

The Tax Cuts and Jobs ActThere was a lot of changes that happened in the Tax Cuts and Jobs Act(TCJA). I think the most shocking was the change from Worldwide toTerritorial tax system. I understood at the time the rate would be reducedand the Corporations would be able to bring back billions of dollars in profit.What I did not know or understand was that they could use Foreign taxcredits to reduce the taxable income. They would be allowed to make thepayments over the course of 8 years, and it would be a one-time taxpayment. I understand the want from lawmakers to incentivize corporationsin to bringing their profits back to the US. The short-term benefits seemedlike a great idea to spur economic growth, but I do not believe they outweighthe consequences of the rising national debt and the Act not havingrevenues greater than the expenses until year 8. It does not specify whenthey would pay for the debt that was added. Also, the reinvest part of the
End of preview. Want to read the entire page?

Upload your study docs or become a

Course Hero member to access this document

Term
Fall
Professor
NoProfessor
Tags
Taxation in the United States, Professor Ambrosio

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture