Tax Reform and Corporate Acquisitions

This Article focuses on two tax reform proposals: the Nunn-Domenici bill (USA Tax) and the Armey flat tax. It explores the effect of these two types of tax reform proposals on purchases and sales of corporate businesses. The Article addresses the purchase and sale of only incorporated businesses, and explores the way that the proposed tax systems would operate when applied to these corporate transactions. The author concludes that if these tax proposals became law, it is likely that a large part of tax planning for corporate acquisitions would shift from the federal to the state and local level