Report considers impact of proposed tax reforms on pharma

The major impact on big pharma from the tax reforms proposed by US President Donald Trump will be from the repatriation of funds from overseas rather than savings due to corporate rate cuts, says a report from investment research firm Zacks.

Mr Trump’s proposals include cutting the corporate tax rate to 15% and the repatriation of trillions of dollars held as cash reserve overseas by companies with global operations, for a one-time tax, reportedly of 10%. Both are currently taxed at 35%.