US tax reforms will impact on our economy

PROPOSED tax reforms in the United States by the Democrats, who took control of Congress in January, could be potentially damaging to this economy.

One of the arguments advanced by the Democrats is that big US firms are saving billions under tax laws introduced under the Bush administration, while they are exporting jobs at the same time.

If the proposals gather momentum US firms operating in Ireland, some of which are again starting to move all or part of their operations out of the country, could be forced to rethink their overseas investment strategies.