Foreign Funds

$2 trillion in US corporate foreign earnings are overseas since repatriation would create huge tax liabilities. Obama wants to bring the money home by offering firms one-time corporate tax relief. Not likely. Republicans feel the proposed 14% rate on repatriated earnings is high, Democrats think it’s low, and big firms with lobbyists like the status quo and consider tax reform risky. Worse, talk of tax holidays encourages holding earnings abroad.