North Miami-Dade News

WASHINGTON, D.C. - The Congressional Taiwan Caucus, comprised of Representatives Mario Díaz-Balart (R-FL), Ami Bera, M.D. (D-CA), Gerry Connolly (D-VA), and Andy Barr (R-KY), has released a statement praising the inclusion of double taxation provisions regarding Taiwan in the Tax Relief for American Families and Workers Act of 2024.

The Caucus, which also serves as the House leads of the Taiwan Tax Agreement Act of 2023, expressed their satisfaction with the incorporation of substantial elements from their legislation. This development signals a positive step towards eliminating double taxation on cross-border investments between the United States and Taiwan.

In their statement, the Caucus emphasized the benefits of this tax legislation. They believe it will bolster foreign direct investment between the U.S. and Taiwan while reducing reliance on the People’s Republic of China for critical technologies and resources. Furthermore, they argue that the legislation will enhance the competitiveness of both countries and make workers and businesses more resilient against Beijing's economic influence. Ultimately, this move will contribute to strengthening the flourishing U.S.-Taiwan relationship.

The importance of the U.S.-Taiwan economic partnership is underscored by the significant investment and trade flows between the two nations. As of 2022, Taiwanese foreign direct investment in the United States amounted to $16 billion, while trade in goods and services between the U.S. and Taiwan reached an estimated $160 billion. These figures demonstrate the growing significance of the U.S. as a preferred destination for Taiwanese outbound investment.

The inclusion of these double taxation provisions in the Tax Relief for American Families and Workers Act reaffirms the robust Congressional support for Taiwan. As co-chairs of the Congressional Taiwan Caucus, the representatives expressed their commitment to further advancing opportunities to strengthen the U.S.-Taiwan economic partnership.

In conclusion, the inclusion of double taxation provisions in the Tax Relief for American Families and Workers Act of 2024 represents a significant achievement for the Congressional Taiwan Caucus. This legislation not only addresses the issue of double taxation but also promotes increased investment and economic cooperation between the U.S. and Taiwan.