The U.S. tax incentive for exports - to be or not to be

Considers the dispute between the US and its trading partners regarding the US tax incentives for exports. After reviewing the dispute concerning the US foreign sales corporation (FSC) regime, which the World Trade Organization found to be an illegal export subsidy, the article discusses the new US extraterritorial income exclusion rules, which replaced the FSC regime and which the WTO also found to be a prohibited export subsidy.