Formula apportionment would allow tax bureaucrats to concoct a system for arbitrarily changing the existing distribution of business income, with a clear goal of forcing companies to over-state their taxable income in high-tax nations.

FORBES: New OECD Report Calls For Crippling New Corporate Tax Rules

"Our current system can create some serious work disincentives, particularly at low and high ends of the income distribution, so the potential efficiency gains are pretty clear, " Justin Ross, Professor of Public Finance at Indiana University, told the BBC.

BBC: Republicans 2012: Rick Perry unveils flat tax plan