14 février 2017
Client Alert | Brussels | United States | International Trade
Among the various controversial projects in the spotlight after the election of President Trump is the United States tax reform which may be conducted in line with the proposals of the House Republican blueprint released mid-2016.
The blueprint proposes the introduction of a border adjustment in accordance to which products, services and intangibles are taxed where they are consumed rather than where they are produced. This would result in taxing imports to the United States independently of the place of production of the product, while exempting US-produced goods from US taxes when they are exported. In other words, the reform would shift the US system to a "destination-based tax" in accordance to which the cost of all imports would no longer be tax-deductible while revenues resulting from all export sales would be exempted from taxation in the US.
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