Analysis of Certain U.S. Tax Credits for Pillar 2

On January 20, 2025, the new U.S. administration announced that the U.S. is not in alignment with the international Pillar 2 minimum income tax initiative, until Congress acts. However, many companies continue to analyze the potential impact that the standard Pillar 2 minimum tax rules may have on U.S. tax liabilities.

This special analysis outlines the treatment of U.S. income tax credits, when computing the effective tax rate element of the calculations required for Pillar 2 minimum income taxes.

U.S. income tax credits covered include:

• Research and experimentation
• Orphan drug
• Clean electricity production
• Advanced manufacturing investment

Download this special analysis today.