Supreme Court Urged to Pass on Challenge to Foreign Income Tax

The Justice Department urged the US Supreme Court not to review the constitutionality of a tax on foreign income that opponents argue would open a legal door for Democratic lawmakers to pursue a federal wealth tax.

The federal government’s Tuesday brief responded to a petition from Charles and Kathleen Moore, who have challenged the constitutionality of a tax created to ensure US shareholders who hadn’t repatriated their foreign income couldn’t avoid taxes after the US switched to a new international tax regime in 2017. The Moores were hit with the transition tax on an Indian corporation’s income that was attributed ...