US Senator Sheldon Whitehouse on Monday announced that he will be introducing three bills aimed at generating USD 310 billion over the period of 10 years by the means of closing loopholes in taxes.
The Rhode Island Democrat said the tax reforms offer greater opportunity for “significant bipartisan progress” in the new Republican-controlled Senate.
“I wanted to make sure that we were trying to keep that conversation as fair as possible for regular taxpayers because regular taxpayers don’t have the resources to hire lobbyists to go out and create special provisions for them in the tax code. Some of the special provisions that exist in the tax code are real stinkers, and absolutely we need to get rid of them,” he said.
Whitehouse has planned to raise tax rates on some wealthy individuals as well as collect more revenue from the corporations that are engages in business overseas. According to him, these rich individuals as well as the corporations often take advantage of the tax loopholes.
The Republicans want reduction in individual as well as corporate tax rates and have also always favored lowering taxes on the overseas assets and profits of any corporations.
According to the Whitehouse, some of the revenue generated from the proposed reform plans could be used in lowering the overall tax rate in the corporate sector. Moreover, he believes that such an action could help in winning more votes for the Republicans.
Whitehouse said he will be re-introducing legislation in order to get the so-called Buffett rule passed.
The Buffett rule sets minimum tax rates for people making over USD 1 million.
The second bill aims at stopping the American companies that are engaged in manufacturing goods overseas and importing them by deferring the payment of federal income taxes.
The third proposal includes a set of measures to stop multi-national corporations from paying lesser taxes by just moving their assets and profits via offshore subsidies.
Whitehouse is hoping that he get the tax bills integrated into a comprehensive tax reform package. Besides, he also thinks Republicans will work together in supporting him on the tax reforms as they’ll require support from Democrats to pass their proposals.