Is it at all possible that the bill could promote greater honesty towards investors? After all, if you’re taxed on book income you’re that much less likely to make it appear to investors that your company is more profitable than it really is. Not saying thus will necessarily happen, but certainly worth watching and keeping an open mind.
I’m not sure how much different taxing book income is from reversing a key provision in the TCJA from 2017 - namely, the TCJA raised the income threshold where companies are required to use an accrual basis to report income.
Is it at all possible that the bill could promote greater honesty towards investors? After all, if you’re taxed on book income you’re that much less likely to make it appear to investors that your company is more profitable than it really is. Not saying thus will necessarily happen, but certainly worth watching and keeping an open mind.
I’m not sure how much different taxing book income is from reversing a key provision in the TCJA from 2017 - namely, the TCJA raised the income threshold where companies are required to use an accrual basis to report income.