USCIB’s Tax Counsel Rick Minor testified on March 7 at the Hearing before the U.S. House Committee on Ways & Means Subcommittee on Tax, “Ensuring the Biden Administration Puts Americans First.”  It was the first Congressional hearing on the current Pillar One proposals of the OECD Two Pillar solution project.

“The message from the U.S. should be that discrimination against U.S. companies should not be permitted in any case,” emphasized Minor during his oral testimony. “Fiscal measures specifically targeted at U.S. multinationals should never be a legitimate tax policy choice in a stable international tax system.”

Minor also told the Subcommittee Members that a Pillar One solution that does not effectively eliminate double taxation in its application is not sustainable and that U.S. industry is concerned that the current design of Amount B falls short of the stated objectives of the OECD in its original blueprint.

“We can imagine a reality in which these rules can exist in some form, if the final rules stabilize the international tax system,” added Minor.

On behalf of USCIB, Minor encouraged the Biden administration and U.S. Congress to remain engaged in the OECD process.

House Committee on Ways and Means Tax Subcommittee Chairman Mike Kelly (PA-16) led the meeting before the 18 member Subcommittee. Minor’s testimony was one of four from the private sector; other witnesses included Megan Funkhouser, senior director of Policy, Tax and Trade at the Information Technology Industry Council, Gary Sprague, partner at Baker McKenzie and Daniel Bunn, president and CEO of the Tax Foundation.