Representative Vern Buchanan (R-FL) issued a statement praising President Donald Trump for negotiating a deal that prevents American companies from being subject to a global minimum corporate tax rate.
As The Floridian reported last January, the Undertaxed Profit Rule was introduced as part of the Organization for Economic Co-operation and Development's (OECD) Global Tax Deal, which would allow countries to increase taxes on a business if that business is part of a larger company that pays less than the proposed global minimum tax of 15 percent in another jurisdiction.
The Biden administration signaled that it would abide by the rule until President Trump issued an executive order to counter it.
"The Biden administration's agreement to a global minimum corporate tax rate was a disastrous mistake that surrendered U.S. tax sovereignty to Europe," Rep. Buchanan said in a press release. "It would have crippled American businesses' ability to compete and create new jobs."
More recently, the Trump White House has negotiated a deal that prevents American companies from complying with the rule, which the Ways and Means Committee previously estimated would cost the U.S. $120 billion in lost tax revenue at worst and nearly $60 billion at best.
As a result, Rep. Buchanan further praised Trump and Treasury Secretary Scott Bessent for having "secured a strong deal that protects U.S. companies from unfair foreign taxes and defends American competitiveness."
The Florida Congressman thanked the Ways and Means Committee for playing its part, saying, "I’m proud of the role the Ways and Means Committee played to achieve this victory by making clear during our drafting of the Working Families Tax Cuts that raising taxes on foreign companies was on the table if an exemption for U.S. companies was not secured."
"Congressional Republicans will continue to work to protect American companies and workers from foreign interference," Buchanan concluded.
