Daily Tax Update – December 11, 2017: Treasury Analysis Asserts Tax Cuts Will Pay for Themselves

Treasury Analysis Asserts Tax Cuts Will Pay for Themselves: Today, the Treasury Department’s Office of Tax Policy released its analysis of the Senate’s tax reform plan. The one-page report used the Administration’s Fiscal Year 2018 budget projections of a 2.9% real growth rate over 10 years. The analysis expects the 0.7% increase in GDP growth above the baseline 2.2% projections to be attributable to the tax reform bill and that such growth will result in an increase in tax revenues of approximately $1.8 trillion during the 10-year period. The report expects the $1.8 trillion of increased tax revenue will more than offset the predicted $1.5 trillion cost of the bill under the Joint Committee on Taxation’s current law scoring.

OECD Releases Consultation Document on Disclosure of Common Reporting Standards Avoidance Schemes: Today, the OECD released a consultation document proposing model rules requiring disclosure by advisers and service providers who market schemes designed to circumvent the Common Reporting Standard (CRS) for automatic exchange of taxpayers’ financial account information. The proposed rules would require such intermediaries to disclose information on schemes and their users to their national tax authority. Public comments on this consultation draft are due by January 15, 2018.