U.S. House tax chief: lower tax rates vulnerable without border adjustment

Reuters News
Posted: Jan 24, 2017 11:34 AM

WASHINGTON (Reuters) - A top congressional Republican on tax policy warned on Tuesday that tax reform would not be able to achieve the 15 percent and 20 percent corporate tax rates proposed by President Donald Trump and Republicans in Congress without a border-adjustment provision.

“There are severe consequences for America if special interests succeed in blocking this provision," House of Representatives Ways and Means Committee Chairman Kevin Brady told the U.S. Chamber of Commerce.

"Tax rates on businesses would have to increase significantly from the proposed 15 percent and 20 percent rates, undercutting our ability to make America competitive again," he added.

(Reporting by David Morgan; Editing by Chizu Nomiyama)