Multinationals Scurry to Defuse House Tax Bill’s ‘Atomic Bomb’

  • Tax writer offers changes amid range of industry complaints
  • Bill aims at offshore profit-shifters, hits many others too
Bloomberg’s Sahil Kapur takes a look at the make-or-break week ahead for tax reform.(Source: Bloomberg)
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Multinational companies including Apple Inc., Pfizer Inc. and others would face a new tax on payments they make to offshore affiliates under the House Republicans’ tax bill -- a surprise provision that has stunned tax experts.

The new 20 percent tax is “the atomic bomb in the draft” legislation, said Ray Beeman, co-leader of Ernst & Young’s Washington Council advisory services group. “We’re trying to get our arms around the implications.”