TaxGuided
All glossary terms

Glossary term

Base Erosion Anti-Abuse Tax (BEAT)

A minimum tax aimed at preventing erosion of the U.S. tax base via deductible payments to foreign affiliates.

Related terms

1

Jurisdictions

us

Definition

Section 59A imposes the BEAT on certain large U.S. corporations with significant base-erosion payments to foreign related parties. The tax rate is currently 10 percent rising to 12.5 percent in 2026.

Examples

  • A large U.S. corporation making royalty payments to a foreign related party may owe BEAT if base-erosion percentage thresholds are met.

Translations

ESBEAT
ZH税基侵蚀反滥用税
DEBEAT
FRBEAT
JABEAT

Citations

26 U.S.C. · 59A

Related citations

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Primary sources

Important disclaimer

This library is for general tax education only. Always verify filing obligations, due dates, and tax consequences against the cited primary source or with a qualified tax professional.