Sen. Joe Manchin Balks at Global Minimum Tax Championed by Biden

Wall Street Journal ^ | July 16, 2022 | Richard Rubin

[karpov]

The Biden administration’s international tax agenda suffered a setback when Sen. Manchin rejected a 15% minimum tax on multinational companies this past week, dimming prospects of turning last year’s global tax agreement into reality.

Biden administration officials had planned to use Democratic fiscal legislation to enact the U.S. piece of the deal struck last year by Treasury Secretary Janet Yellen and more than 130 other countries. They wanted quick action to set a 15% minimum tax on U.S.-based multinational companies in each country where they operate, a move aimed at showing international leadership and prodding other countries to follow suit.

Mr. Manchin (D., W.Va.) was the pivotal vote, and he explained during a radio interview Friday his reluctance regarding the U.S. going first. His comments don’t officially kill the international tax changes. The White House has said talks will continue, though President Biden on Friday urged adoption of a narrower package focused on prescription drugs and healthcare.

Mr. Manchin has shifted his position at times during a long stretch of negotiation with Democratic leaders. As Democrats run out of time before November’s midterm elections, Mr. Manchin’s statements make it much less likely that the U.S. will adopt the 15% rate soon.

...

Legislators and negotiators around the world had been waiting to see what the U.S. Congress would do. Mr. Manchin’s comments and his broader objections to his party’s legislation will now reshape the global discussions, putting pressure on other countries to go first in imposing minimum taxes.

“We’re not going to go down that path overseas right now, because the rest of the countries won’t follow,” Mr. Manchin told the radio host Hoppy Kercheval. “And we’ll put all of our international companies in jeopardy, which harm the American economy. Can’t do that. So we took that off the table.”

[KarlInOhio]

If all the companies of the world get together to agree to a minimum profit level it is collusion and their managers can be fined or imprisoned. But the rules are different when all the governments of the world agree to minimum profits taxes the leftists see it as a good thing.

[Deplorable American1776]

Thank you, Senator Manchin.

[Deplorable American1776]

And the “global 15% tax” goes where???????? The UN probably.

Any elitest who fly a private jet to GLOBAL WARMING SUMMITS...

[Deplorable American1776]

I hate HOA fees...

[aquila48]

I’ll take 20 Manchins over our despicable RINOS.

[GOPJ]

Manchin backed off when he saw the newest inflation numbers.

He’s attempting to stop hyper-inflation. This one act doesn’t make Manchin a conservative but it does make him a democrat who can see beyond being ‘buttered up’ by sicko corrupt white liberal ‘elites’.

Which is a hell of a lot more than can be said of most democrats in DC.

[Political Junkie Too]

I was going to ask the same thing.

-PJ

[Osage Orange]

Taxes are generally passed on to the customers of the Company....

Tax and Spend!!! Yah that's the ticket

[MIchaelTArchangel]

There is currently a global minimum tax. It is currently set at 0.00%. Slow Joe wants to raise it 15.00%.

[AndyJackson]

That is so depressing, actually.

[GreyFriar]

No sarcasm intended: what do you think is a ‘good guess?’

[GreyFriar]

Thanks