Portman, Wyden Introduce Bipartisan Bill to Disallow Foreign Tax Credits and Other Tax Benefits for Companies Operating in Russia
WASHINGTON, D.C. —Today, U.S. Senators Rob Portman (R-OH), Senate Finance Committee Member, and Ron Wyden (D-OR), Senate Finance Committee Chair, introduced legislation to disallow foreign tax credits for companies that pay taxes to the Russian government, and other tax benefits.
“American taxpayers should not subsidize the Russian war machine. Vladimir Putin continues to bomb civilians, and credible reports and strong evidence of war crimes, including execution of civilians and forced deportations, emerge daily,” Portman and Wyden said.
The senators continued, “If companies choose to keep doing business in Russia and paying taxes to Putin’s government in the face of these atrocities, they should forfeit their foreign tax credits and deductions for taxes paid to Russia in the United States. Russian oligarchs and companies supporting Putin also shouldn’t be getting tax benefits in the United States. These are simple propositions.
“The tax code already disallows lower tax rates and foreign tax credits for companies paying taxes to countries with rogue regimes. Our commonsense proposal simply adds Russia and Belarus to that list. The discussion draft of our bill, released last month, was reviewed by stakeholders and outside experts. The bill was well-received and reflects changes from those discussions. We hope that our colleagues will join us in supporting this legislation and the urgent need to pass it.”
A summary of the legislation is here.
The legislative text is here.