U.S. foreign tax bill sends jitters across Wall Street

[human1234]

Under the new tax bill, the U.S. would hit investors from such countries by increasing taxes on U.S. income by 5 percentage points each year, potentially taking the tax rate up to 20%

 

“Given US net international investment position is sharply negative, there is indeed scope for capital outflows if indeed S899 passes through the Senate in its current form,” he added.

 

 

The impact of the bill won’t be limited to European companies or individuals from those states.

The bill “could significantly increase tax rates applicable to certain non-U.S. individuals and business, governmental, and other entities,” said Max Levine, head of U.S. tax at the law firm Linklaters.

This means it could also ensnare governments and central banks, which are large investors of U.S. Treasuries. France and Germany, for instance, held a combined $475 billion worth of U.S. government bonds as of March

 

https://www.cnbc.com/2025/05/30/us-set-to-weaponize-taxes-on-foreign-investors-via-section-899.html

[HugoStrange]

Holy cow, the foriegn investor will take out lot of money from US stock market if this is the case, SPY will go to 400 if that happens