‘Revenge Tax’ Proposal Stifles US Investment, Trade Groups Warn

Investment trade associations are asking Senate Republican leaders for a passive investment exemption for the so-called “revenge tax,” which they warn will have a chilling effect on investment in the US.

Both the Senate and House versions of the GOP’s hallmark tax-and-spending bill includes Section 899, which would raise US tax rates on taxpayers from any countries deemed to be imposing “unfair " taxes on American companies. The Senate version reduced the potential magnitude of the tax and included a later start date than the House version.

The Managed Funds Association, American Investment Council, Real Estate Roundtable, and three other ...