Miller & Chevalier held a teleconference to review the recent results of the fifth annual Tax Policy Forecast Survey, designed to measure the current perspectives and attitudes of leading corporate tax executives on the direction of tax policy and provide a preview of the Administration's budget, which was scheduled for release on February 14, 2011.

The Survey measured the current perspectives and attitudes of leading corporate tax executives on the direction of tax policy in 2011. Some highlights of the findings included:

• Respondents named U.S. taxation of international operations (35 percent) and financial statement disclosure issues (29 percent) as their top two business tax concerns in 2011.
• Despite the stated interest in tax reform by the Administration and Congress, business leaders are cynical about whether it will happen this year, particularly due to the split in Congressional control.
• An increase in the U.S. taxation of international operations (62 percent), industry specific taxes or fees (50 percent), and reductions in spending (48 percent) are named as the leading sources to be tapped to fund Congressional initiatives in 2011.
• Thirty percent of respondents think the split in Congressional control will have the most significant impact on tax policy in 2011, followed by the federal budget deficit (29 percent) and continued focus on the economic downturn (21 percent). Only nine percent of respondents said Obama Administration priorities would be the biggest factor in tax policy changes.
• Respondents believe the split in Congressional control means that there will be little to no tax legislation on the horizon this year (47 percent), although a significant number of respondents (37 percent) believe that some modest tax legislation, potentially with respect to extension of the tax "extenders" package and perhaps some targeted stimulus provisions, will be enacted this year.
• Respondents believe that codification of the economic substance doctrine will not impact their tax planning or their relationship with the IRS or their external auditors.