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The Corporate Alternative Minimum Tax: A Congressional Folly

2024/05/15 by Jennifer Blouin, Nathan Born
Business, Management and Accounting · Economics, Econometrics and Finance · #Corporate Taxation and Avoidance #Taxation and Compliance Studies #Taxation and Legal Issues

paper · doi:10.1086/730211

Abstract

We revisit work that investigates the firms that are likely subject to the corporate alternative minimum tax (CAMT) using publicly available financial statements. Consistent with prior work, we find that the group of firms seemingly subject to the CAMT is small and includes some surprises. Furthermore, like the pre-Inflation Reduction Act alternative minimum tax, we estimate that the CAMT will raise far less revenue than projected. Finally, we find that most firms say very little regarding their potential CAMT liabilities, consistent with their anticipated tax liabilities being relatively small.

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