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"The Hill" featured Lubin Professor Philip G. Cohen's opinion piece in "Tax reform postmortem reveals lethal dose of crony capitalism"

05/22/2018 News Release Image

"The Hill" featured Lubin Professor Philip G. Cohen's opinion piece in "Tax reform postmortem reveals lethal dose of crony capitalism"

Philip G. Cohen is an associate professor of taxation at Pace University Lubin School of Business and a retired vice president – tax and general tax counsel at Unilever United States, Inc. The views expressed herein do not necessarily represent those of any organization to which the author is or was associated with.

On Wednesday, the House Ways and Means Committee held a hearing regarding the impact of P.L. 115-97, informally referred to as the Tax Cuts and Jobs Act (TCJA) enacted in December 2017.

While Chairman Kevin Brady (R-Texas) undoubtedly viewed this as an opportunity for a curtain call, TCJA is a poster child for poorly conceived, incredibly complex (even for a tax act) partisan legislation enacted without due deliberation, that will exacerbate the deficit and undoubtedly further drive good jobs and income off-shore.

It also punished blue states like New York, New Jersey and California by capping the itemized deduction for all state taxes at a mere $10,000, but managed to reduce the top individual tax rate from 39.6 percent to 37 percent.

Even Sen. Bob Corker (R-Tenn.), who voted for TCJA, has expressed regrets when faced with a Congressional Budget Office estimate that TCJA will increase the federal budget deficit by $1.85 trillion in 2018-2028. Sen. Corker stated, "If it ends up costing what has been laid out here, it could well be one of the worst votes I've made."

Another TCJA supporter, Sen. Marco Rubio (R-Fla.), also articulated remorse over TCJA, albeit for a different reason: "They [big corporations with the tax cuts] bought back shares; a few gave out bonuses; there's no evidence whatsoever that the money's been massively poured back into the American worker." 

This latter comment was reinforced by a survey of economists by the National Association for Business Economics, which found that "two-thirds of business economists [indicated that] the 2017 tax law isn't changing their firms' and industries hiring or investment plans."

While there was somewhat widespread belief that the pre-TCJA top corporate statutory rate of 35 percent needed to be reduced, what was the rationale for slashing the rate to 21 percent?

Furthermore, why was untaxed pre-TCJA offshore earnings of U.S. multinationals only taxed at rates of 15.5 percent for cash and cash equivalents and 8 percent for other assets, coupled with the tax being spread over eight years and heavily back-loaded? 

In addition, why has the nation's tax laws moved in the direction of quasi-territoriality, wherein most foreign-sourced dividends received by 10 percent or more domestic corporate shareholders will get 100 percent dividends received deduction, i.e., they pay no federal income tax.

The answer to all three questions is that this was a pay-off to major campaign contributors, where their interests prevailed over those of the nation.

Read the full article.

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"Daily Voice" featured Seidenberg's director of Development Deth Sao in "2018 Rising Stars Unveiled By Business Council of Westchester"

05/07/18

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"The Associated Press" featured Dyson Professor Anne Toomey's piece in "Redefining ‘impact’ so research can help real people right away, even before becoming a journal article"

05/07/18

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Producing the Documentary travel course featured on Tiempo on ABC 7

05/06/18

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"Study Breaks" featured Pace University student Sammi Li in "Sammi Li Brings Asian Representation to Pace University"

05/04/18

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"Bloomberg" featured Haub Law Professor Bennett Gershman in "Ex-Goldman Sachs Programmer’s Conviction Upheld in New York "

05/04/18

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"The Evolllution" featured Assistant Vice President of Continuing and Professional Education Christine Shakespeare's piece "Managing Siloes: How Non-Traditional Divisions Can Innovate from the Fringes"

05/04/18

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"Fios1" featured Dyson Professor Dr. Maria Luskay and senior student Kelly Whritenour in "Pace University students find hope amid devastation in documentary on Puerto Rico"

05/03/18

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"The Examiner News" featured Dyson Professor Maria Luskay in "Pace Student Documentary Highlights the Suffering in Puerto Rico"

05/03/18

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"Washington Examiner" featured law professor Bennett Gershman in "Mueller questions 'leak' could mean trouble for Trump lawyers: Experts"

05/02/18

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"Hudson Valley News Network" featured the Pace Immigration Law Society in "Bracco Receives Immigrant Advocate Award"

05/02/18

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"The Examiner News" featured Biology Dyson Professor Dr. Melissa Grigione in "Coyote in Thornwood Park Attack Had Rabies"

05/02/18

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Press Release: Pace Student Awarded Fulbright U.S. Scholar Grant

05/02/18

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"The Hill" featured Law Professor Miriam Rocah's opinion piece "In the Cohen case, don’t buy the ‘vast government conspiracy’ defense"

05/01/18

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"New York Business Journal" featured Lubin Professor Bruce Bachenheimer in "Jopwell helps track down minority talent "

05/01/18

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Pace President Marvin Krislov and Dyson student Gabe Rivera on Fox 5 NY

05/01/18

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"Associated Press" featured Lubin Professor Larry Chiagouris in "Royal wedding mania: $50,000 hotel package, Union Jack condoms and more"

05/01/18

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"Our Town" featured Assistant Vice President of Cultural Affairs at the Schimmel Center for the Arts Martin Kagan in "The man behind the scenes"

05/01/18

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"Autism Support Network" featured student David Sharif's piece "I have autism, and I'm in college"

05/01/18

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"Westchester County Business Journal" featured Dean Johathan Hill's piece "Jonathan H. Hill: A workable cybersecurity solution for Westchester"

05/01/18

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"The Chronicle of Philanthropy" featured Gary Laermer in Other Notable Appointments "Raikes Has New Racial-Equity Leader; Disney Foundation Names Executive Director"

04/27/18

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"The Chronicle of Higher Education" featured Gary Laermer in "Transitions"

04/27/18

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"Inside Higher Ed" featured professor of computer applications Gregg Ramsay in "Online Students Don't Have to Work Solo"

04/27/18

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"Tri County Sentry" featured Lubin Professor Larry Chiagouris in "After Facebook Scrutiny, Is Google Next?"

04/27/18

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"Columbia Daily Tribune" featured Dyson Professors Matthew Bolton and Emily Welty in "Progress toward peace"

04/27/18

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"Westchester Rising" featured the College of Health Professions in "Pace Opens Health Center on Pleasantville Campus"

04/27/18

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"New York Law Journal" featured Law School Assistant Dean Jill Backer's piece in "What Is Diversity in the Legal Market? Or Is Everyone a Special Snowflake?"

04/27/18

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"Pleasantville Patch" featured Dyson Professors Michelle Land and John Cronin with Pace University students, faculty and staff in "High School, College Students Walk For World Water"

04/26/18

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"Community Health" featured dietitian nutritionist Christen Cupples Cooper, founding director of the nutrition and dietetics program at Pace University in "Is a plant-based diet right for you?"

04/25/18

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"Movie TV Tech Geeks" featured Lubin Professor Larry Chiagouris in "Will Google, YouTube soon be getting the Facebook treatment?"

04/25/18

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"The Westchester Business Journal" featured Pace President Marvin Krislov and Gary Laermer in "Pace University names Gary Laermer as VP for development and alumni relations"

04/25/18

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"The Business Journal" featured Lubin Professor Larry Chiagouris in "After Facebook scrutiny, is Google next?"

04/24/18