US-Chilean Tax Treaty Ensnarled Amid GOP, Treasury Tiff

A tax treaty with Chile that won bipartisan support last year is now entangled in a debate between Republicans on the Senate Finance Committee and the Treasury Department.

The US has sought to finalize a tax pact with Chile since 2010, and the Foreign Relations Committee voted as recently as last year to send it to the Senate floor, but it has yet to get a vote there. Democrats sought to bring the bill for a vote in the early days of this Congress, but Republicans brought concerns.

At issue is language relating to foreign tax credits. Republicans want what ...