The 2008 Tax Policy Forecast Survey from Miller & Chevalier Chartered measured the perspectives and attitudes of 165 corporate tax executives on the direction of tax policy in the coming year. 

Survey respondents named management of the effective tax rate and FIN 48 issues as two of their top business tax concerns in 2008, indicating that corporate tax executives are spending an increasing amount of time on financial reporting matters.

Respondents believe Congress is likely to increase taxation of hedge funds and other investment vehicles (68 percent), codify the economic substance doctrine (63 percent) and increase the taxation of international operations (59 percent) in order to fund its tax agenda in 2008.

Respondents overwhelmingly believe there is a need for a comprehensive overhaul of the current tax structure, indicative of the ongoing debate on tax reform and simplification. In exchange for a lower corporate tax rate, many respondents indicated they would be willing give up other deductions and credits.  The responses suggest that more tax professionals in these companies may view statutory rate reduction as a more effective means of lowering their effective tax rates.

"Projecting forward, respondents are calling for greater simplification, a lower corporate tax rate and international tax policies that will help their companies stay more competitive in the global business environment," said Miller & Chevalier attorney Marc Gerson.