(THE GUARDIAN) — Barack Obama will propose a major clampdown on US corporations with a one-off levy on an estimated $2tn of untaxed earnings being stashed overseas, using the windfall to rescue America’s crumbling road infrastructure.
The centrepiece of the White House budget, which will be unveiled on Monday but was shared in advance with the Guardian and other media, is a one-off 14% tax on untaxed foreign earnings multinational companies are shielding overseas.
Budget battle lines drawn as Obama will present plan to Republican Congress
That is less than half of the current 35% top tax rate for corporations. But the White House predicts the 14% tax will raise $238bn, a sum it wants to immediately inject into a nationwide project to upgrade roads, bridges and public transport.
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