The purpose of this analysis is to improve the U.S. Department of the Treasury’s distributional model and methodology by defining new model parameters. We compute the percentage of capital income attributable to normal versus supernormal return, the percentage of normal return attributable to...

Using tax return data for1993–2003, we measure how US corporations use tax losses over time. For firms included in our dataset, we find that: (1) approximately 50–60 percent of tax losses are used over a ten–year window as a carryback refund or loss carryforward deduction; (2)...