The project deals with the current US corporate tax reform proposal. Despite details being subject to change, a reduction in corporate tax rate and abolishment of the worldwide income system seems most likely. In case the reform gets implemented, the US will improve its global tax position substantially. Therefore, the aim of the project is to assess the impact of the proposed tax reform on European countries. The main focus of the project is on the change of incentives for cross-border investments. In addition, implications for the competitiveness of European countries and possible countermeasure strategies are discussed.