The impact of the minimum company tax under the Inflation Reduction Act was forecast by the UNC Tax Center using 2021 financial data.
Around 78 businesses would be impacted by the 15% minimum tax, with Berkshire Hathaway and Amazon being the biggest payers.
Along with the remainder of the Inflation Reduction Act, the tax was enacted into law by President Joe Biden in August.
Only around 78 corporations would be affected by the new 15% corporate minimum tax introduced by the Inflation Reduction Act, with Berkshire Hathaway and Amazon bearing the worst financial impact.
The tax, which takes effect in January, was mapped onto businesses' 2021 earnings in a study by the University of North Carolina Tax Center using earlier securities filings.
According to the researchers, 78 companies would have lost $31.8 billion in 2021 if the 15% minimum had been in place. Based on projected earnings through 2021, Berkshire took the top spot with a predicted payout of $8.33 billion, followed by Amazon with $2.77 billion.
The analysis highlights the drawbacks of focusing just on data from publicly traded companies over the course of a single year. These predictions could alter, the researchers acknowledged, particularly as business practises are expected to change in 2023 as a result of the tax.
According to a prior estimate by the Joint Committee on Taxation, it would have an impact on 150 or so businesses, with the manufacturing sector bearing the brunt of the costs. The $34 billion in income forecast by the nonpartisan JCT was also somewhat higher than the UNC revenue projection for 2021.
The study found that Ford, AT&T, eBay, and Moderna would all have to pay more than $1.2 billion in taxes, based on projected 2021 financial results. These companies would also have to pay the next-highest taxes.