Deal Protects U.S. Companies From Unfair Foreign Taxes, Defends American Competitiveness
WASHINGTON — Today, Congressman Vern Buchanan, Vice Chairman of the House Ways and Means Committee, released the following statement after the Trump administration negotiated a deal to prevent U.S.-based companies from paying a global minimum corporate tax:
“The Biden administration’s agreement to a global minimum corporate tax rate was a disastrous mistake that surrendered U.S. tax sovereignty to Europe. It would have crippled American businesses’ ability to compete and create new jobs.
“President Trump and Secretary Bessent have secured a strong deal that protects U.S. companies from unfair foreign taxes and defends American competitiveness. I’m proud of the role the Ways and Means Committee played to achieve this victory by making clear during our drafting of the Working Families Tax Cuts that raising taxes on foreign companies was on the table if an exemption for U.S. companies was not secured.
“Congressional Republicans will continue to work to protect American companies and workers from foreign interference.”
The OECD global minimum corporate tax rate, agreed up during the Biden administration, encourages countries to impose various taxes to ensure that large companies pay at least 15 percent in each jurisdiction where they operate. Congressional Republicans opposed this measure, and the House passed the Working Families Tax Cuts that included retaliatory countermeasures against any foreign government that imposed unfair taxes. These countermeasures were ultimately removed from the final bill when the G7 publicly committed to respecting U.S. tax sovereignty.
