On Monday, three committees in Mexico’s senate — constitutional issues, energy and legislative studies — voted to bring an energy reform bill to the chamber’s floor for debate. The legislation would provide international oil companies the opportunity to participate in profit-sharing contracts and concession-like licenses for energy operations in Mexico, and it is expected to become law by the end of the legislative session Dec. 15.
The positive effects of a corporate income tax reform in the United States might well be enhanced by a simultaneous move to a territorial system coupled with anti-base erosion provisions designed to limit revenue losses; however, the effects of implementing territoriality are tenuous and seem likely to be small in the aggregate. Published by the American Action Forum.
Testimony of
Kenneth B. Medlock III
James A. Baker, III, and Susan G. Baker Fellow in Energy and Resource Economics, and
Senior Director, Center for Energy Studies
James A. Baker III Institute for Public Policy
Rice University
To the
Senate Committee on Energy and Natural Resources
Washington, D.C.
February 12, 2013