UPDATE: Here are the actual tax rates the biggest companies in America pay
By Philip van Doorn, MarketWatch
Others, including 7 Dow components, currently pay tax at a rate that is lower than 20%
There's plenty of reading to do to understand President Donald Trump's tax reform proposal (http://www.marketwatch.com/story/how-to-separate-fact-from-fiction-in-tax-reform-2017-09-27), but one major feature is quite simple -- a lowering of the federal income-tax rate to 20% from the current 35%.
Trump has heralded the corporate rate cut as a move that would greatly benefit Corporate America, although many U.S. companies currently pay far less than the top 35% rate. However, it is widely viewed as the main reason many multinationals tend to keep a lot of cash overseas, as they are reluctant to repatriate it as long as it would be subject to such a high rate.
Read:Why tax repatriation won't jolt the U.S. dollar (http://www.marketwatch.com/story/why-tax-repatriation-wont-jolt-the-us-dollar-2017-09-27)
Related:These are the 5 U.S. companies with the biggest overseas cash piles (http://www.marketwatch.com/story/these-are-the-5-us-companies-with-the-biggest-overseas-cash-piles-2017-04-26)
We have compiled lists of companies to review what's at stake as Congress battles over the proposal for the next several months.
Any company's tax situation can change radically from quarter to quarter or year to year, because of such items as major asset write-downs, gains on sales, realization of deferred tax assets, legal settlements, accounting adjustments or other events. So we decided to use quarterly data provided by FactSet to calculate median effective income-tax rates for the past four quarters.