Home World News House of Representatives passes tax cut bill, which includes avoidance of double taxation in the United States and Taiwan

House of Representatives passes tax cut bill, which includes avoidance of double taxation in the United States and Taiwan

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House of Representatives passes tax cut bill, which includes avoidance of double taxation in the United States and Taiwan

The US House of Representatives on Wednesday passed $78 billion more corporateLow incomeThe family tax cut bill, if passed by the Senate, will be sent to President Biden to be signed into law. The tax cut allows companies to immediately deduct their domestic research and development costs in the United States; Additionally, by expanding the child tax credit, low-income families raising multiple children can receive more subsidies.

Taiwan hopes that the issue of double taxation between the United States and Taiwan will be resolved and the solution also lies in this huge bill.

Lok SabhaThe bill was passed with an overwhelming majority, with 357 votes in favor and 70 against, including Republican members with 169 votes in favor and 47 against and Democratic members with 188 votes in favor and 23 against. . Smith, the sponsor of the tax cut bill and chairman of the Republican House Budget Committee, said,management committeeWe should accept this bill and pass it like this.” “We will pass it within 15 days, and they can do it within 15 days.”

However, some senators have threatened to block passage of the bill or a massive renewal. The tax cut bill needs at least 60 votes to pass in the Senate.

The Senate is scheduled to adjourn for two weeks starting on the 12th, and parliamentary aides do not believe senators will prioritize voting on the bill before adjournment. Republican Senator John Cornyn of Texas said: “If the House of Representatives passes a bill and then says we have to comply with it, I certainly would not be willing to cooperate.” He emphasized that he did not feel the need to pass a tax cut bill. quickly.

According to Bloomberg Intelligence analysis, if the tax cut bill is passed into law, the companies that will clearly benefit include: Boeing, General Motors, Deere & Co., Caterpillar, Amazon, Microsoft and Apple. The Wall Street Journal cites that Lockheed Martin’s cash flow would be significantly improved because research and development costs could be deducted immediately rather than amortized over five years, and small businesses could also reduce the pain of the tax burden.

In addition to R&D costs, corporate equipment purchases and interest costs can also be listed as deductions due to the passage of the tax cut bill.

A coalition of 250 business groups, including the US Chamber of Commerce, the Business Roundtable and the National Association of Manufacturers, are lobbying to pass this tax cut bill.

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