In addition to international reforms

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Indeed, American welfare can be advanced by ensuring that investments in the US and abroad are owned by the most productive owner and that American firms flourish abroad, a goal advanced by the territorial regime that has now been adopted by most comparable countries. While the developments described above have crystallized the case for international tax reform with an increasing attention.

On switching to a territorial regime, there is still tremendous variation in proposals for territorial regimes. Some proposals, including those with an alternative minimum tax on foreign profits, are tantamount to a backdoor Chinese Overseas America Number Data worldwide regime with even more complexity than today's system. Revenue considerations should figure largely in tax reform today but should be accorded secondary status in this setting given the very limited revenue provided by current international tax rules and the remarkable complexity and distortions required to secure any such revenue. Additionally, it is not clear that policies should prioritize revenue considerations in other countries.



More broadly, the corporate tax is ripe for reform. and a rate reduction, reform should address the two other major developments in the corporate tax arena: a) the growing prominence of non-C corporate business income, and b) the disjunction between profits reported to capital markets and to tax authorities. A useful blueprint for reform would include a) moving to a territorial regime unencumbered by excessive complexity, b) a considerably lower tax rate in the range of - percent, c) better alignment of book and tax reporting of corporate profits and d) by some taxation of non-C corporation business income.