Hern Introduces Treasury Accountability Resolution
Representative Kevin Hern (OK-01) and Ways and Means Committee Ranking Member Rep. Kevin Brady (TX-08) recently introduced H. Res. 1269 in response to the Biden Administration’s global tax mandate.
The resolution instructs the Secretary of the Treasury to provide models and reports about the effect of global tax agreements on the economy; specifically, its effects on U.S. tax revenue.
The full text of the resolution can be found here and below:
Of inquiry directing the Secretary of the Treasury to provide certain documents in the Secretary’s possession to the House of Representatives relating to the impact of the OECD Pillar One agreement on the United States Treasury.
Resolved, That the Secretary of the Treasury is directed to transmit to the House of Representatives, not later than 14 days after the adoption of this resolution, copies of any document, memo, correspondence, or other communication of the Department of Treasury in the Secretary’s possession, that refers or relates to—
(1) United States Pillar One tax revenue modeling data and reports estimating the direct and indirect impact of the OECD Pillar One agreement on reallocating taxing rights from the United States to foreign jurisdictions, or
(2) the economic effects of the OECD Pillar One agreement on the United States Treasury.
Pillar-one of the Organization for Economic Cooperation and Development’s (OECD) two-pillar solution to address tax challenges arising from the digitalization of the economy is a plan to reallocate taxing rights, enabling countries to tax multinationals operating within their borders. Because the two-pillar solution implicates core Congressional revenue-raising powers, legislation is required to have domestic legal effect.
Previously, Representative Kevin Hern (OK-01) led both a bipartisan letter in May and a Republican letter in January from Members of the Ways and Means Committee to Treasury Secretary Janet Yellen urging her to work with Congress to protect US competitiveness and American jobs.