Today, the White House released the Economic Report of the President. The report addresses business tax reform and President Obama's proposals. It also sets out and evaluates various proposals for business tax reform. The report states:
The President’s approach to business tax reform reduces disparities in tax rates across jurisdictions, across industries, across assets, across means of financing, and across different forms of business. In doing so, it encourages domestic investment and increases the quality of investment and productivity. Specifically, the approach broadens the tax base, lowers the top corporate rate, and reforms the taxation of income earned abroad. It moderates the incentives to shift profits to tax havens and encourages high-return domestic investment. This approach significantly simplifies the tax system for small businesses and corrects for externalities—benefits and costs that firms’ actions have on unrelated individuals. In addition, the one-time revenue that is generated by reform is used to fund a substantial, six-year increase in public infrastructure investment.