White House Considering Profit Repatriation Tax Holiday
Friday March 11 2011 | 02:16 AM

The White House Press Secretary, Jay Carney, in a recent press briefing, has confirmed that the Administration would be open to considering a tax holiday for United States companies repatriating profits from their overseas operations.

Although US unemployment is reducing according to the latest figures, it was pointed out that “the Administration is still calling on businesses to spend some of the USD2 trillion in cash on hand that they have to help create jobs.” However, “a lot of that money is overseas” – at least one-half of it, according to reported estimates.

Some companies in the US, particularly the larger technological, pharmaceutical and energy groups, have been seeking a tax concession that would allow them to bring those funds back to the US, without suffering the current tax charge of up to 35%.

Carney confirmed that President Obama would be prepared to look at a “repatriation holiday”, but only in “the context of broader corporate tax reform.”