Why Trump's Tax Overhaul May Hurt Foreign Banks

The video discusses the purpose of a tax catch aimed at preventing money from being shifted abroad to avoid US taxes. With the US tax rate now lower, the focus is on catching money shifted overseas. However, the unclear language in the law affects global banks, as it is not specified whether gross or net movements are considered. This uncertainty could impact banks significantly. The Treasury has the authority to clarify these rules, potentially alleviating concerns if net movements are considered instead of gross.

What role does the Treasury play in the implementation of the new tax rules?

What potential actions could Congress take regarding the new tax legislation?