In our Forecast 2021 podcast series, we’re focused on offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics. In this week’s episode, we highlight the “Green Book,” which is the Treasury’s explanation of the tax proposals in the proposed FY2022 Federal budget. We focus on the proposals that will have a significant impact on corporate income tax policies. Heather Horn sat down with Jenn Spang, PwC’s National Office income tax accounting leader, and Pat Brown, co-leader of PwC’s Washington National Tax Services group, to discuss the big changes on the horizon. Tax leaders are already scenario planning - we break it down so CFOs can do the same.Topics include:1:03 - “Green Book.” The Treasury Department released the annual tax budget, or the “Green Book,” last month. Pat and Jenn highlight the significant corporate tax proposals and their financial statement impacts.11:07 - GILTI. Pat digs deeper and explains the proposed changes to the global intangible low-taxed income (GILTI) tax policy. Jenn tells us the accounting ramifications.18:30 - BEAT and SHIELD. The Biden administration has proposed to replace the base erosion and anti-abuse tax (BEAT) with a new provision called stopping harmful inversions and ending low-tax developments (SHIELD). Pat and Jenn explain what this all means.23:37 - FDII. Pat fills us in on the proposal to repeal the deduction for foreign derived intangible income (FDII) tax, and the plan to use the resulting revenue to expand research and development investment incentives. 26:08 - The OECD framework. We discuss the proposed global minimum tax as part of the Organisation for Economic Co-operation and Development (OECD) framework and what it means for multinationals and international tax. 34:39 - Other key proposals. Pat highlights a number of other proposals affecting corporate income taxes, and Jenn provides takeaways from a financial statement perspective. The key is scenario planning - be prepared. 37:24 - What’s next? It’s up to Congress now. Pat and Jenn expect the increase in corporate taxes to be enacted by the end of 2021, with changes to international tax law having a longer runway.Pat Brown is PwC’s Washington National Tax Services co-leader. Prior to joining PwC, he spent 16 years in the private sector, including a role as the director of tax policy for a Fortune 50 company. Pat has also served in the US Treasury’s Office of Tax Policy as an attorney-advisor and as Associate International Tax Counsel.Jennifer Spang is PwC’s National Office income tax accounting leader specializing in tax accounting under US GAAP and IFRS. She has over 25 years of experience helping companies in a variety of industries navigate complex tax accounting matters.Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to [email protected].