SOI Tax Stats – International Tax Studies Based Upon Provisions Introduced by the Tax Cuts and Jobs Act (TCJA) of 2017

 

This page features links to data providing statistics related to the Tax Cuts and Jobs Act (TCJA) (P.L.115-97). The TCJA, enacted in December 2017, changed deductions, depreciation, expensing, tax credits and other tax items that affect businesses. The Internal Revenue Service (IRS) is responsible for implementing tax provisions that affect how individuals and businesses file their taxes.

Statistical Tables

The following tables are available as Microsoft Excel® files. A free Excel viewer is available for download, if needed.

Form 8991   Form 8992   Form 8993

Form 8991, Tax on Base Erosion Payments of Taxpayers with Substantial Gross Receipts

The TCJA added new section 59A (Tax on Base Erosion Payments of Taxpayers with Substantial Gross Receipts), which applies to large corporations that have the ability to reduce U.S. tax liabilities by making deductible payments to foreign related parties. The Base Erosion and Anti-Abuse Tax (BEAT) of section 59A is generally levied on certain large corporations that have deductions with respect to amounts paid or accrued to foreign related parties that are greater than 3% of their total deductions (2% in the case of certain banks or registered securities dealers), a determination referred to as the base erosion percentage test. Large corporations are those with gross receipts of $500 million or more, as calculated under the regulations of section 59A, a determination referred to as the gross receipts test. The BEAT operates as a minimum tax, so a taxpayer is only subject to additional tax under the BEAT if the BEAT tax rate multiplied by the taxpayer's modified taxable income exceeds the taxpayer's regular tax liability adjusted for certain credits.

Table 1. Form 8991: Tax on Base Erosion Payments of Taxpayers With Substantial Gross Receipts, Selected Items, by Sector

Data Presented: Number of Filings, Aggregate Base Erosion Tax Benefit, Total Deductions, Modified Taxable Income, Regular Tax Liability Adjusted, Base Erosion Minimum Tax Amount, and other selected data items from Schedule A and Schedule B.
Classified by: Industrial Sector
Classified by: 2018

Form 8992, Global Intangible Low-Taxed Income (GILTI)

Created by Congress under the TCJA legislation, the F8992 is filed by any U.S. shareholder of one or more Controlled Foreign Corporations (CFC) that must consider its pro rata share of the tested income or tested loss of the CFC(s) in determining the U.S. shareholder's GILTI inclusion, if any, under section 951A. The final GILTI amount determined by the F8992 calculation is recorded on the F1120, Schedule C and, subsequently, included in the taxpayer's gross income. This amount can potentially be offset by a deduction (See Section 250 Deduction).

Table 1. Form 8992: U.S. Shareholder Calculation of Global Intangible Low-Taxed Income (GILTI), Selected Items, by Size of Total Assets of Parent

Data Presented: Number of filings, tested income, tested loss, GILTI 
Classified by: Size of Total Assets
Classified by: 2018

Table 2. Form 8992: U.S. Shareholder Calculation of Global Intangible Low-Taxed Income (GILTI), Selected Items, by Sector and Selected Major Industry of Parent

Data Presented: Number of filings, tested income, tested loss, GILTI
Classified by: Industrial Sector
Classified by: 2018

Form 8993, Section 250 Deduction for Foreign-Derived Intangible Income (FDII) and Global Intangible Low-Taxed Income (GILTI)

The TCJA enacted section 250 for the allowance of a deduction for the eligible percentage of Foreign-Derived Intangible Income (FDII) and Global Intangible Low-Taxed Income (GILTI). FDII is already included as part of a domestic corporation’s taxable income. The FDII portion is essentially income from accessing or serving foreign markets, either through goods or services. The FDII provisions in section 250 allow a deduction on income generated by intangible assets held in the U.S. The GILTI provisions in IRC Section 951A impose a tax on foreign sourced intangible income earned by U.S. shareholders of any controlled foreign corporation (CFC). The GILTI provisions in section 250 allow a deduction on income generated by intangible assets owned outside of the U.S. For tax years 2018–2025, certain domestic corporations are allowed a deduction equal to 37.5% of FDII and 50% of GILTI. Corporations use Form 8993 to provide information required under Section 250 when they are eligible for a deduction on FDII and/or GILTI income. 

Table 1.  Form 8993:  Section 250 Deduction for Foreign-Derived Intangible Income (FDII) and Global Intangible Low-Taxed Income (GILTI), Selected Items

Data Presented: Number of filings, gross income, taxable income, FDII, FDII deduction, GILTI deduction
Classified by: Section 250 deduction type
Classified by: 2018

Table 2. Form 8993: Section 250 Deduction for Foreign-Derived Intangible Income (FDII) and Global Intangible Low-Taxed Income (GILTI), Selected Items, by Industrial Sector

Data Presented: Number of filings, gross income, taxable income, FDII, FDII deduction, GILTI deduction
Classified by: Industrial Sector
Classified by: 2018