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Shell's operations seen boosted by US tax overhaul

  • The company said it expects to provide details of the impact of the tax reform in its fourth-quarter 2017 results
  • In December, President Donald Trump signed the $1.5 trillion tax overhaul into law, cutting tax rates for businesses and offering some temporary cuts for some individuals and families

Royal Dutch Shell Plc said it expects recently enacted U.S. tax reform legislation to have a "favorable" impact on its operations.

A worker wears a hard hat at a Royal Dutch Shell Plc hydraulic fracking site near Mentone, Texas.
Matthew Busch | Bloomberg | Getty Images
A worker wears a hard hat at a Royal Dutch Shell Plc hydraulic fracking site near Mentone, Texas.

The change in U.S. tax legislation, which is a reduction to 21 percent from 35 percent, will affect Shell's fourth-quarter 2017 results but added the "analysis of the actual impact is not yet complete."

The Anglo-Dutch company said it expects to provide details of the impact of the tax reform, which is effective from Jan. 1, in its fourth-quarter 2017 results.

However, Shell said it would have incurred a charge to earnings of $2.0 to 2.5 billion, on the basis of its third-quarter statements.

On Dec. 22, U.S. President Donald Trump signed the $1.5 trillion tax overhaul into law, cutting tax rates for businesses and offering some temporary cuts for some individuals and families.