,i #aai? ,,congress #a/ ,session ,h4 ,r4 #eia ,,9 ,,! ,,h\se ,,( ,,repres5tatives ,janu>y #ba1 #bjbe,mr4 ,smi? ( ,miss\ri 7= himself1 ,mr4 ,bu*anan1 ,mr4 ,smi? ( ,nebraska1 ,mr4 ,kelly ( ,p5nsylvania1 ,mr4 ,s*weik]t1 ,mr4 ,la,hood1 ,mr4 ,arr+ton1 ,mr4 ,e/es1 ,mr4 ,smuck]1 ,mr4 ,h]n ( ,oklahoma1 ,mrs4 ,mill] ( ,we/ ,virg9ia1 ,mr4 ,murphy1 ,mr4 ,ku/(f1 ,mr4 ,fitzpatrick1 ,mr4 ,/eube1 ,ms4 ,t5ney1 ,mrs4 ,fis*ba*1 ,mr4 ,moore ( ,utah1 ,ms4 ,van ,duyne1 ,mr4 ,fe5/ra1 ,ms4 ,malliotakis1 ,mr4 ,c>ey1 ,mr4 ,yakym1 ,mr4 ,mill] ( ,ohio1 ,mr4 ,bean ( ,florida1 & ,mr4 ,moran7 introduc$ ! foll[+ bill2 :i* 0 ref]r$ to ! ,committee on ,ways & ,means1 & 9 addition to ! ,committee on ,ov]sight & ,gov]nm5t ,re=m1 = a p]iod to be subsequ5tly det]m9$ by ! ,speak]1 9 ea* case = consid]ation ( su* provisions z fall )9 ! jurisdiction ( ! committee conc]n$ ,a ,,bill ,to provide an en=cem5t ( rem$ies aga9/ ! extrat]ritorial taxes & discrim9atory taxes ( =eign c\ntries4 #a4 ,%ort title ,?is ,act may be cit$ z ! ,def5d+ ,am]ican ,jobs & ,inve/m5t ,act4 #b4 ,en=cem5t ( rem$ies aga9/ extrat]ritorial taxes & discrim9atory taxes 7a7 ,9 g5]al ,subp>t ,d ( "p ,,ii ( sub*apt] ,n ( *apt] #a is am5d$ by add+ at ! end ! foll[+ new section3 #hii4 ,en=cem5t ( rem$ies aga9/ extrat]ritorial taxes & discrim9atory taxes 7a7 ,report on extrat]ritorial taxes & discrim9atory taxes 7#a7 ,9 g5]al ,n lat] ?an #ij days aft] ! date ( ! enactm5t ( ?is section1 & n less frequ5tly ?an once e #ahj days !reaft]1 ! ,secret>y %all submit to ! appropriate committees ( ,congress a report :i* li/s ea* =eign c\ntry t has 7z ( ! date ( ! submission ( su* report7 "o or m extrat]ritorial taxes or discrim9atory taxes4 7#b7 ,additional items ,ea* report submitt$ "u p>agraph 7#a7 %all include-- 7,a7 ) respect to ea* extrat]ritorial tax or discrim9atory tax ( any =eign c\ntry li/$ 9 su* report1 a description ( su* tax includ+ ! rate !re( & ! dates on :i* su* tax 0 enact$ & takes effect1 & 7,b7 if ! ,secret>y det]m9es t any =eign c\ntry no long] has 7z ( ! date ( ! submission ( su* report7 an extrat]ritorial tax or discrim9atory tax :i* 0 describ$ 9 any prior report submitt$ "u ?is subsection-- 7i7 ! dates on :i* ! p]man5t repeal or t]m9ation ( su* tax 0 enact$ & takes effect1 & 7ii7 :e!r su* =eign c\ntry has 7z ( su* date7 any o!r extrat]ritorial taxes or discrim9atory taxes4 7#c7 ,det]m9ation ( :5 a =eign c\ntry has an extrat]ritorial tax or discrim9atory tax ,= purposes ( ?is section1 a =eign c\ntry %all be treat$ z hav+ an extrat]ritorial tax or discrim9atory tax dur+ ! p]iod-- 7,a7 beg9n+ on ! e>li] ( ! date on :i* su* tax is enact$ or takes effect1 & 7,b7 end+ on ! lat] ( ! date on :i* ! p]man5t repeal or t]m9ation ( su* tax is enact$ or takes effect4 7b7 ,engagem5t ) trad+ p>tn]s on extrat]ritorial taxes & discrim9atory taxes ,! ,secret>y %all comm5ce enhanc$ bilat]al engagem5t ) ea* =eign c\ntry includ$ 9 ! report submitt$ "u subsection 7a71 9 ord] to1 z appropriate-- 7#a7 express ! conc]n ( ! ,unit$ ,/ates ) respect to ! adv]se trade & economic effects ( tax policies t violate bilat]al tax treaties & int]national tax norms1 7#b7 urge repeal ( extrat]ritorial taxes & discrim9atory taxes t t>get ,unit$ ,/ates p]sons1 & 7#c7 advise su* =eign c\ntry ( ! rem$ial actions "u subsection 7c74 7c7 ,rem$ial actions 7#a7 ,increas$ rate ( tax on =eign citiz5s & =eign corporations 7,a7 ,income taxes 7i7 ,9 g5]al ,9 ! case ( any applicable p]son = any taxable ye> beg9n+ aft] ! applicable date1 ea* specifi$ rate ( income tax %all be increas$ by ! applicable numb] ( p]c5tage po9ts4 7ii7 ,specifi$ rate ( income tax ,= purposes ( ?is subp>agraph1 ! t]m specifi$ rate ( income tax means-- 7,i7 ! rates ( tax specifi$ 9 p>agraphs 7#a7 & 7#b7 ( section #hga7;a71 7,,ii7 9 ! case ( any applicable p]son to :i* section #hga7;b7 applies1 ea* rate ( tax 9 effect "u section #a1 7,,iii7 ! rate ( tax specifi$ 9 section #hha7;a71 7,,iv7 9 ! case ( any applicable p]son to :i* section #hhb7;a7 applies1 ! rate ( tax specifi$ 9 section #aa7;b71 & 7,v7 ! rate ( tax specifi$ 9 section #hhd7;a74 7iii7 ,application ( increas$ rates to effectively connect$ income ( nonresid5t ali5 individuals limit$ to ga9s on ,unit$ ,/ates real prop]ty int]e/s ,9 ! case ( any individual to :om clause 7i7 applies1 ! tax impos$ "u section #a on su* individual 7aft] application ( clause 7ii77,,ii77 %all be r$uc$ 7b n bel[ z]o7 by ! excess (-- 7,i7 ! tax :i* w\ld be impos$ "u su* section 7aft] application ( clause 7ii77,,ii77 if ,,firpta items 7 n tak5 into acc\nt1 ov] 7,,ii7 ! tax :i* w\ld be impos$ "u su* section if ,,firpta items 7 n tak5 into acc\nt1 & clause 7ii77,,ii7 did n apply4 ,= purposes ( ?is clause1 ! t]m ,,firpta items means ga9s & losses tak5 into acc\nt "u section #hga7;b77#a7 by reason ( section #hig7;a77#a77;,a74 7,b7 ,)hold+ taxes 7i7 ,9 g5]al ,9 ! case ( any paym5t to an applicable p]son aft] ! applicable date1 ! rate ( tax specifi$ 9 sections #adda7;a7 & #addb7;a7 7o!r ?an ! #ad p]c5t rate ( tax specifi$ 9 section #adda7;a77 %all ea* be-- 7,i7 not)/&+ sections #hid & #gheb7;d71 det]m9$ )\t reg>d to any treaty obligation ( ! ,unit$ ,/ates1 & 7,,ii7 increas$ by ! applicable numb] ( p]c5tage po9ts4 7ii7 ,disposition ( ,unit$ ,/ates real prop]ty int]e/s ,9 ! case ( any disposition ( a ,unit$ ,/ates real prop]ty int]e/ 7z def9$ 9 section #hig7;c77 by an applicable p]son aft] ! applicable date1 ! rate ( tax specifi$ 9 section #adde7;a7 %all be-- 7,i7 not)/&+ sections #hid & #gheb7;d71 det]m9$ )\t reg>d to any treaty obligation ( ! ,unit$ ,/ates1 & 7,,ii7 increas$ by ! applicable numb] ( p]c5tage po9ts4 7iii7 ,o!r dispositions & di/ributions relat$ to ,unit$ ,/ates real prop]ty int]e/s ,9 ! case ( any disposition or di/ribution describ$ 9 any p>agraph ( section #adde7;e7 made aft] ! applicable date1 ea* rate ( tax 9 su* p>agraph %all be 7not)/&+ sections #hid & #gheb7;d77 det]m9$ )\t reg>d to any treaty obligation ( ! ,unit$ ,/ates & increas$ by ! applicable numb] ( p]c5tage po9ts if-- 7,i7 9 ! case ( section #adde7;e77#a71 ! =eign p]son ref]r$ to 9 subp>agraph 7,a7 or 7,b7 ( su* section is an applicable p]son1 7,,ii7 9 ! case ( section #adde7;e77#b71 ! =eign corporation ref]r$ to 9 su* section is an applicable p]son1 7,,iii7 9 ! case ( section #adde7;e77#c71 ! =eign %>ehold] ref]r$ to 9 su* section is an applicable p]son1 7,,iv7 9 ! case ( section #adde7;e77#d71 ! =eign p]son ref]r$ to 9 su* section is an applicable p]son1 7,v7 9 ! case ( section #adde7;e77#e71 ! ,secret>y issues regulations or o!r guidance provid+ = su* increase1 & 7,,vi7 9 ! case ( section #adde7;e77#f71 ! nonresid5t ali5 individual or =eign corporation ref]r$ to 9 su* section is an applicable p]son4 7,c7 ,applicable p]son ,= purposes ( ?is p>agraph1 ! t]m applicable p]son means-- 7i7 any individual 7o!r ?an a citiz5 or resid5t ( ! ,unit$ ,/ates7 :o is a citiz5 ( a =eign c\ntry li/$ 9 a report "u subsection 7a71 7ii7 any =eign corporation 7o!r ?an a specifi$ #aj-p]c5t own$ =eign corporation1 z def9$ 9 section #bde;,a7b77 :i* is creat$ or organiz$ 9 su* a =eign c\ntry or subject to ! income tax laws ( su* =eign c\ntry1 & 7iii7 9 ! case ( ! application ( subp>agraph 7,b77i7 ) respect to section #adda7;a71 =eign p>tn]%ips to ! ext5t provid$ by ! ,secret>y 7& tak+ into acc\nt ! rules ( section #adda7;d774 7,d7 ,applicable date ,= purposes ( ?is p>agraph1 ! t]m applicable date means ) respect to any =eign c\ntry1 ! day aft] ! #ahj-;day p]iod beg9n+ on ! date ( ! submission ( ! fir/ report "u subsection 7a7 :i* li/s su* =eign c\ntry4 7,e7 ,applicable numb] ( p]c5tage po9ts ,= purposes ( ?is p>agraph-- 7i7 ,9 g5]al ,! t]m applicable numb] ( p]c5tage po9ts means1 ) respect to any =eign c\ntry-- 7,i7 ) respect to ! #a-ye> p]iod beg9n+ on ! applicable date ) respect to su* =eign c\ntry1 #e p]c5tage po9ts1 7,,ii7 ) respect to ! #a-ye> p]iod beg9n+ ) ! close ( ! p]iod describ$ 9 subclause 7,i71 #aj p]c5tage po9ts1 7,,iii7 ) respect to ! #a-ye> p]iod beg9n+ ) ! close ( ! p]iod describ$ 9 subclause 7,,ii71 #ae p]c5tage po9ts1 & 7,,iv7 ) respect to any "t aft] ! close ( ! p]iod describ$ 9 subclause 7,,iii71 #bj p]c5tage po9ts4 7ii7 ,application to taxable ye>s ,= purposes ( subp>agraph 7,a71 ! applicable numb] ( p]c5tage po9ts %all be det]m9$ ) respect to ! date on :i* ! taxable ye> beg9s4 7iii7 ,application to )hold+ taxes ,= purposes ( subp>agraph 7,b71 ! applicable numb] ( p]c5tage po9ts %all be det]m9$ ) respect to ! date ( ! paym5t or disposition1 z ! case may be4 7,f7 ,effect ( p]man5t repeal or t]m9ation ( extrat]ritorial & discrim9atory taxes ,if ! ,secret>y det]m9es "u subsection 7a77#b77;,b77ii7 t any =eign c\ntry no long] has any extrat]ritorial or discrim9atory taxes1 !n 9 ! case ( any taxable ye> beg9n+1 or paym5t or disposition made1 aft] ! date ( ! submission ( ! report :i* includes su* det]m9ation1 ?is section %all be appli$ ) respect to su* =eign c\ntry by n tak+ into acc\nt any report submitt$ be=e su* date4 7#b7 ,o!r rem$ies 7,a7 ,procurem5t 7i7 ,9 g5]al ,! ,presid5t may prohibit ! ,f$]al ,gov]nm5t f procur+1 or ent]+ into any contract = ! procurem5t (1 goods or s]vices f applicable p]sons dur+ ! p]iod beg9n+ on ! applicable date & end+ on ! date ( any det]m9ation describ$ 9 p>agraph 7#a77;,f7 by ! ,secret>y ) respect to su* =eign c\ntry4 7ii7 ,congressional notification ,if ! ,presid5t takes any action describ$ 9 clause 7i71 ! ,presid5t %all1 n lat] ?an #cj days aft] ! date ( su* action1 notify ! appropriate committees ( ,congress ( su* action4 7,b7 ,tax treaties 7i7 ,9 g5]al ,! ,secret>y %all take into acc\nt ! extrat]ritorial taxes & discrim9atory taxes ( any =eign c\ntry 9 assess+ :e!r to ent] into a bilat]al tax treaty ) su* =eign c\ntry or to p>ticipate 9 negotiations ) respect to updat+ a bilat]al tax treaty ) su* =eign c\ntry4 7ii7 ,congressional notification ,if ! ,secret>y beg9s negotiations ) respect to ent]+ into or updat+ any bilat]al tax treaty ) any =eign c\ntry t imposes "o or m extrat]ritorial or discrim9atory taxes1 ! ,secret>y %all1 n lat] ?an #cj days aft] beg9n+ su* negotiations1 notify ! appropriate committees ( ,congress ( su* action4 ,su* notification %all include a description ( ! mann] 9 :i* su* taxes are be+ tak5 into acc\nt z requir$ "u clause 7i74 7,c7 ,trade agreem5ts 7i7 ,9 g5]al ,! ,unit$ ,/ates ,trade ,repres5tative & ! ,secret>y ( ,comm]ce %all ea* take into acc\nt ! extrat]ritorial taxes & discrim9atory taxes ( any =eign gov]nm5t 9 assess+ :e!r to ent] into any free trade agreem5t or ,executive agreem5t on trade ) su* =eign c\ntry4 7ii7 ,congressional notification ,if ! ,unit$ ,/ates ,trade ,repres5tative or ! ,secret>y ( ,comm]ce beg9s negotiations ) respect to ent]+ into any free trade agreem5t or ,executive agreem5t on trade ) any =eign c\ntry t imposes "o or m extrat]ritorial or discrim9atory taxes1 ! ,unit$ ,/ates ,trade ,repres5tative or ! ,secret>y ( ,comm]ce 7z ! case may be7 %all1 n lat] ?an #cj days aft] beg9n+ su* negotiations1 notify ! appropriate committees ( ,congress ( su* action4 ,su* notification %all include a description ( ! mann] 9 :i* su* taxes are be+ tak5 into acc\nt z requir$ "u clause 7i74 7d7 ,def9itions ,= purposes ( ?is section-- 7#a7 ,extrat]ritorial tax 7,a7 ,9 g5]al ,! t]m extrat]ritorial tax means any tax impos$ by a =eign c\ntry on a corporation 7includ+ any trade or bus9ess ( su* corporation7 :i* is det]m9$ by ref]5ce to any income or pr(its receiv$ by any p]son 7includ+ any trade or bus9ess ( any p]son7 by reason ( su* p]son be+ connect$ to su* corporation ?r\gh any *a9 ( own]%ip1 det]m9$ )\t reg>d to ! own]%ip int]e/s ( any individual1 & o!r ?an by reason ( su* corporation hav+ a direct or indirect own]%ip int]e/ 9 su* p]son4 7,b7 ,tax ,! t]m tax includes any increase 9 tax :e!r effectuat$ by an increase 9 ! rate or base ( a tax1 by a d5ial ( d$uctions or cr$its1 or o!rwise4 7#b7 ,discrim9atory tax 7,a7 ,9 g5]al ,except z o!rwise provid$ 9 subp>agraph 7,b71 ! t]m discrim9atory tax means any tax impos$ by a =eign c\ntry if-- 7i7 su* tax applies to items ( income t w\ld n be consid]$ to be f s\rces )9 ! =eign c\ntry "u ! rules ( "p ,i ( ?is sub*apt] if su* "p 7 appli$ by treat+ su* =eign c\ntry z ?\gh x 7 ! ,unit$ ,/ates1 7ii7 su* tax is impos$ on a base o!r ?an net income & is n comput$ by p]mitt+ recov]y ( co/s & exp5ses1 7iii7 su* tax is exclusively or pr$om9antly applicable1 9 practice or by its t]ms1 to nonresid5t individuals & =eign corporations or p>tn]%ips 7z det]m9$ "u rules simil> to p>agraphs 7#d7 & 7#e7 ( section #ggja7;a7 by treat+ ! =eign c\ntry z ?\gh x 7 ! ,unit$ ,/ates7 because ( ! application ( rev5ue ?re%olds1 exemptions or exclusions = taxpay]s subject to su* =eign c\ntry's corporate income tax1 or re/rictions ( scope t ensure t sub/antially all resid5ts 7o!r ?an =eign corporations & p>tn]%ips 7z s det]m9$77 supply+ comp>able goods or s]vices are exclud$ f ! application ( su* tax1 or 7iv7 su* tax is n treat$ z an income tax "u ! laws ( su* =eign c\ntry or is o!rwise treat$ by su* =eign c\ntry z outside ! scope ( any agreem5ts t are 9 =ce betwe5 su* =eign c\ntry & "o or m o!r jurisdictions = ! avoidance ( d\ble taxation ) respect to taxes on income4 7,b7 ,exceptions ,except z o!rwise provid$ by ! ,secret>y1 ! t]m discrim9atory taxes %all n include any g5]ally applicable tax :i* con/itutes-- 7i7 a )hold+ tax on am\nts describ$ 9 sections #hga7;a77#a7 & #hha7;a71 7ii7 a value add$ tax1 goods & s]vices tax1 sales tax1 or o!r simil> tax on consumption1 7iii7 a tax impos$ ) respect to transactions on a p]-unit or p]-transaction basis r ?an on an ad valorem basis1 7iv7 a tax on real or p]sonal prop]ty1 or 7v7 any o!r simil> tax id5tifi$ by ! ,secret>y = purposes ( ?is subp>agraph4 7#c7 ,=eign c\ntry ,! t]m =eign c\ntry means a =eign c\ntry or a dep5d5t t]ritory or possession ( a =eign c\ntry4 ,su* t]m does n include any possession ( ! ,unit$ ,/ates4 7#d7 ,appropriate committees ( ,congress ,! t]m appropriate committees ( ,congress means-- 7,a7 ! ,committee on ,f9ance & ! ,committee on ,=eign ,relations ( ! ,s5ate1 & 7,b7 ! ,committee on ,=eign ,affairs & ! ,committee on ,ways & ,means ( ! ,h\se ( ,repres5tatives4 7#e7 ,secret>y ,! t]m ,secret>y means ! ,secret>y ( ! ,treasury or ! ,secret>y's delegate4 7e7 ,regulations & o!r guidance ,! ,secret>y may issue su* regulations or o!r guidance z may be necess>y or appropriate to c>ry out ! purposes ( ?is section1 includ+ regulations or o!r guidance :i* provide = su* adju/m5ts to ! application ( ?is section z are necess>y to prev5t ! avoidance ( ! purposes ( ?is section4 4 7b7 ,cl]ical am5dm5t ,! table ( sections = subp>t ,d ( "p ,,ii ( sub*apt] ,n ( *apt] #a is am5d$ by add+ at ! end ! foll[+ new item3 ,sec4 #hii4 ,en=cem5t ( rem$ies aga9/ extrat]ritorial taxes & discrim9atory taxes4 4