Commentary: If Corporate Tax Rates Decline, Who Would Benefit? Who Would Get Hurt?
Author: Robert N. Gordon.
Source: Volume 29, Number 04, Summer 2012 , pp.29-32(4)
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Abstract:
Like the weather, everyone talks about taxes, and a lot of those conversations turn around lowering federal tax rates. But the old adage applies: Be careful what you wish for. If corporate tax rates are lowered, some corporate taxpayers will be negatively affected. While not predicting a rate change, the author sets out the earnings and balance-sheet issues that would come into play should rates drop.Keywords: deferred tax assets; deferred tax liabilities; corporate tax rates; taxes effect on earnings; MLP ETFs
Affiliations:
1: Twenty-First Securities Corporation.