On Tuesday, the NAM partnered with member company PPG, a world leader in coatings, and K&L Gates law firm to discuss the outlook for tax reform and recent developments in the international tax arena surrounding the implementation of the OECD’s Base Erosion and Profit Shifting (BEPS) project. Attending the forum at the K&L Gates Conference Center in Pittsburgh were members of the area business community and representatives from the Pennsylvania senatorial delegation.
At the event, NAM Senior Director of Tax Policy Carolyn Lee discussed the foundational work undertaken by the Congress in recent years to advance comprehensive tax reform and the outlook for efforts in the coming months as well as in the next Congress. The NAM has long advocated for comprehensive tax reform that would lower business tax rates, include a shift to a modern competitive international tax system, a permanent enhanced R&D incentive and a robust capital cost recovery system. Indeed, the overarching goal of tax reform must be a system that makes the U.S. the best place in the world to manufacture.
Other speakers included Mary Burke Baker from K&L Gates and John Kolling from PPG who discussed the challenges facing companies due to the BEPS work and state aid investigations ongoing in a handful of European countries at this time. The BEPS efforts will affect over 85% of international commerce so it is essential that companies begin preparing for the reporting requirements that will soon be implemented as part of the project. With BEPS activities increasing, the pressure on U.S. action is ramping up. Learn more about the NAM’s concerns about BEPS here.
While the timing for tax reform is uncertain, the discussion on tax reform is going to continue, ultimately culminating in action. Comprehensive tax reform is essential to unleashing the economic power of manufacturing in the U.S., and manufacturers should not wait to engage Congress on this important issue.
More on the NAM’s tax reform priorities is available here.