German Chancellor Olaf Scholz’s emails have been searched by prosecutors as part of a corruption investigation into a Hamburg bank’s avoidance of a tax bill.

Olaf Scholz embroiled in tax fraud case as prosecutors search his emails

The US Senate has passed Democrats' $750 billion 'Inflation Reduction Act'. It includes climate provisions, tax changes, drug pricing provisions, and more.

US Senate passed $740 billion 'Inflation Reduction Act' package

The US Senate passed a sweeping energy, health care, climate and tax package on Sunday, following an overnight marathon of votes that resulted in just a handful of notable changes to the legislation.

US Senate passes major climate and tax bill

The US Senate has passed Democrats' $750 billion health care, tax and climate bill, in a significant victory for President Joe Biden and his party.

US Senate passes Democrats' sweeping climate, health and tax bill

Elon Musk may have already been compelled to sell a sizable portion of his Tesla shares even if he had not issued an unusual Twitter pledge over the weekend. Musk on Saturday polled Twitter users on whether he should sell 10% of his stake in his company. The poll appeared to be a response to a Democratic proposal to tax the unrealized gains of billionaires.

“Much is made lately of unrealized gains being a means of tax avoidance, so I propose selling 10% of my Tesla stock,” he tweeted.

Musk said he was raising the question because he does not take a cash salary as Tesla’s CEO and therefore would not have any way to pay a large tax bill without selling some of his Tesla shares, which make up the vast majority of his wealth.

Musk wrote in a follow-up tweet that he would “abide by the results of this poll, whichever way it goes.” Tesla’s shares were down a little more than 3% on the news Monday.

He closed the poll Sunday, after nearly 3.5 million votes had been cast, with 58% voting for him to sell. Musk has not confirmed what he will do, but after closing the poll, he tweeted, “I was prepared to accept either outcome.”

Either way, Musk may soon have needed to sell a big chunk of his shares. He holds nearly 23 million stock options that were awarded in 2012. Those options have since vested and will expire in August 2022. Most stock grants allow executives to avoid paying taxes for years, and perhaps forever, as long as they do not sell the shares they get from converting the option.

But Brian Foley, an executive compensation consultant, says that because of the size of Musk’s grant and the way it was structured, it is likely that much of his 2012 options do not qualify for the preferential tax treatment. That means Musk would owe income taxes when he exercises the grant, which at current prices would be worth just under $30 billion. Musk’s tax bill could top $10 billion, depending on what percentage of the options do not qualify for the preferential treatment.

“They are a ticking tax time bomb,” Foley said of Musk’s stock options. “Offhand I can’t think of any way for him to get around paying the tax.”

What’s more, Musk may need to sell even more shares than what it would take to pay his tax bill. He owns 17% of Tesla’s shares, which at its current stock price would be worth about $200 billion. That means his weekend tweets are a pledge to sell roughly $20 billion worth of Tesla’s shares.

The potential sale could roil Tesla’s stock at a time when many analysts say it is already overvalued. The company’s market value recently crossed $1 trillion, making it only one of five U.S. publicly traded companies to be worth that much.

Nonetheless, James Cox, a professor at Duke University law school and an expert in securities laws, said it might be hard for Musk to go back on his Twitter pledge.

“It’s a no-win situation,” Cox said. “In the securities law, the problem is this could be seen as a misrepresentation that was meant to mislead if another shareholder sold on Musk’s tweet.”

But Cox said it would be a hard lawsuit to win, because CEOs are allowed to make statements and change their minds, as long as they meant what they said when they said it.

It would not be the first time that Musk has gotten into trouble over his tweets. In late 2018, he and Tesla settled a lawsuit by the Securities and Exchange Commission, without admitting guilt, for tweeting about a potential sale of Tesla that never happened. Musk was also sued for defamation in 2018 after calling a diver who had helped rescue children stuck in a cave in Thailand a “pedo guy” on Twitter. Musk won the suit.

Daniel Ives, a stock analyst at Wedbush Securities who follows Tesla, called Musk’s latest Twitter pledge “bizarre” but said he thought that given Tesla’s prospects and the investor enthusiasm for the company, the stock, which is up more than 60% this year, would keep climbing, even with Musk cashing out a portion of his holdings.

“Musk was likely to sell some of his Tesla stock before year end, but no one ever imagined there would be a Twitter poll translating into a 10% sale of his ownership,” Ives said. “This weekend’s Twitter poll was a strange one even for Elon.”

Elon Musk may have already been compelled to sell a sizable portion of his Tesla shares even if he had not issued an unusual Twitter pledge over the weekend. Musk on Saturday polled Twitter users on whether he should sell 10% of his stake in his company.

Elon Musk may have already been compelled to sell a sizable portion of his Tesla shares even if he had not issued an unusual Twitter pledge over the weekend. Musk on Saturday polled Twitter users on whether he should sell 10% of his stake in his company. The poll appeared to be a response to a Democratic proposal to tax the unrealized gains of billionaires. “Much is made lately of unrealized gains being a means of tax avoidance, so I propose selling 10% of my Tesla stock,” he tweeted. Musk said he was raising the question because he does not take a cash salary as Tesla’s CEO and therefore would not have any way to pay a large tax bill without selling some of his Tesla shares, which make up the vast majority of his wealth. Musk wrote in a follow-up tweet that he would “abide by the results of this poll, whichever way it goes.” Tesla’s shares were down a little more than 3% on the news Monday. He closed the poll Sunday, after nearly 3.5 million votes had been cast, with 58% voting for him to sell. Musk has not confirmed what he will do, but after closing the poll, he tweeted, “I was prepared to accept either outcome.” Either way, Musk may soon have needed to sell a big chunk of his shares. He holds nearly 23 million stock options that were awarded in 2012. Those options have since vested and will expire in August 2022. Most stock grants allow executives to avoid paying taxes for years, and perhaps forever, as long as they do not sell the shares they get from converting the option. But Brian Foley, an executive compensation consultant, says that because of the size of Musk’s grant and the way it was structured, it is likely that much of his 2012 options do not qualify for the preferential tax treatment. That means Musk would owe income taxes when he exercises the grant, which at current prices would be worth just under $30 billion. Musk’s tax bill could top $10 billion, depending on what percentage of the options do not qualify for the preferential treatment. “They are a ticking tax time bomb,” Foley said of Musk’s stock options. “Offhand I can’t think of any way for him to get around paying the tax.” What’s more, Musk may need to sell even more shares than what it would take to pay his tax bill. He owns 17% of Tesla’s shares, which at its current stock price would be worth about $200 billion. That means his weekend tweets are a pledge to sell roughly $20 billion worth of Tesla’s shares. The potential sale could roil Tesla’s stock at a time when many analysts say it is already overvalued. The company’s market value recently crossed $1 trillion, making it only one of five U.S. publicly traded companies to be worth that much. Nonetheless, James Cox, a professor at Duke University law school and an expert in securities laws, said it might be hard for Musk to go back on his Twitter pledge. “It’s a no-win situation,” Cox said. “In the securities law, the problem is this could be seen as a misrepresentation that was meant to mislead if another shareholder sold on Musk’s tweet.” But Cox said it would be a hard lawsuit to win, because CEOs are allowed to make statements and change their minds, as long as they meant what they said when they said it. It would not be the first time that Musk has gotten into trouble over his tweets. In late 2018, he and Tesla settled a lawsuit by the Securities and Exchange Commission, without admitting guilt, for tweeting about a potential sale of Tesla that never happened. Musk was also sued for defamation in 2018 after calling a diver who had helped rescue children stuck in a cave in Thailand a “pedo guy” on Twitter. Musk won the suit. Daniel Ives, a stock analyst at Wedbush Securities who follows Tesla, called Musk’s latest Twitter pledge “bizarre” but said he thought that given Tesla’s prospects and the investor enthusiasm for the company, the stock, which is up more than 60% this year, would keep climbing, even with Musk cashing out a portion of his holdings. “Musk was likely to sell some of his Tesla stock before year end, but no one ever imagined there would be a Twitter poll translating into a 10% sale of his ownership,” Ives said. “This weekend’s Twitter poll was a strange one even for Elon.”

Behind Elon Musk’s Twitter poll is a tax bill coming due

Thousands of Colombians took to the streets on Saturday for International Workers' Day marches and protests against a government&nbsp;tax&nbsp;reform proposal, in a fourth day of demonstrations that have resulted in at least six deaths.

Unions and other groups kicked off marches on Wednesday to demand the government of President Ivan Duque withdraw the proposal, which originally leveled sales&nbsp;tax&nbsp;on public services and some food.

Cali, the country's third-largest city, has seen the most vociferous marches, some looting and the burning of multiple city buses.

Also read:&nbsp;<a href="Colombia ups deployment of security forces to Cali amid violence">Colombia ups deployment of security forces to Cali amid violence</a>

Death counts were inconsistent. National human rights ombudsman Carlos Camargo said that three protesters died in Cali and another three deaths there were being investigated.

One death each occurred in&nbsp;Bogota&nbsp;and the city of Neiva, Camargo said. A police officer in the city of Soacha died of injuries sustained on Wednesday. A further 179 civilians and 216 police officers have been injured nationally.

Rights organisation Human Rights Watch said it had received reports of possible police abuse in Cali, and local human rights groups alleged up to 14 deaths occurred.

Cities at high risk for violence will continue to get military assistance, with accompanying human rights guarantees, Duque said in a Saturday evening video.

Isolated vandalism, clashes between police and protesters and road blockades occurred in several cities on Saturday, and riot police were deployed in the capital.

Saturday's protests took place despite an announcement by Duque late on Friday that the reform will now not include sales&nbsp;tax&nbsp;on food or utilities or an expansion of income&nbsp;tax.

The government insists the reform is vital to stabilising Colombia's finances, maintaining its credit rating and funding social programmes.

Thousands of Colombians took to the streets on Saturday for International Workers' Day marches and protests against a government tax reform proposal, in a fourth day of demonstrations that have resulted in at least six deaths.

Thousands of Colombians took to the streets on Saturday for International Workers' Day marches and protests against a government tax reform proposal, in a fourth day of demonstrations that have resulted in at least six deaths. Unions and other groups kicked off marches on Wednesday to demand the government of President Ivan Duque withdraw the proposal, which originally leveled sales tax on public services and some food. Cali, the country's third-largest city, has seen the most vociferous marches, some looting and the burning of multiple city buses. Also read: Colombia ups deployment of security forces to Cali amid violence Death counts were inconsistent. National human rights ombudsman Carlos Camargo said that three protesters died in Cali and another three deaths there were being investigated. One death each occurred in Bogota and the city of Neiva, Camargo said. A police officer in the city of Soacha died of injuries sustained on Wednesday. A further 179 civilians and 216 police officers have been injured nationally. Rights organisation Human Rights Watch said it had received reports of possible police abuse in Cali, and local human rights groups alleged up to 14 deaths occurred. Cities at high risk for violence will continue to get military assistance, with accompanying human rights guarantees, Duque said in a Saturday evening video. Isolated vandalism, clashes between police and protesters and road blockades occurred in several cities on Saturday, and riot police were deployed in the capital. Saturday's protests took place despite an announcement by Duque late on Friday that the reform will now not include sales tax on food or utilities or an expansion of income tax. The government insists the reform is vital to stabilising Colombia's finances, maintaining its credit rating and funding social programmes.

Thousands march in Colombia in fourth day of protests against tax plan

The&nbsp;majority&nbsp;of German taxpayers will no longer have to pay a "solidarity tax" introduced after the reunification of the country almost quarter of a century ago to support poorer eastern states, according to a&nbsp;draft&nbsp;law&nbsp;seen by Reuters.

The government, comprising Chancellor Angela Merkel's conservatives and Finance Minister Olaf Scholz's centre-left Social Democrats, in their 2018 coalition agreement laid down plans to help citizens on small and medium incomes.

The&nbsp;draft&nbsp;law&nbsp;says that around 90 per cent&nbsp;of taxpayers should no longer pay the tax, which adds 5.5 per cent&nbsp;to income taxes,&nbsp;from&nbsp;2021, calling it the most comprehensive tax reduction in over 10 years.

Others who would still have to pay some&nbsp;solidarity tax&nbsp;would see lower tax increases overall through a cushioning mechanism applied to personal allowances, resulting in 96.5 per cent&nbsp;of all taxpayers benefitting&nbsp;from&nbsp;reductions.

Changing the tax, that was first levied in 1995, in this way would imply around 10 billion euros ($11.20 billion) less income for the general budget&nbsp;from&nbsp;2021&nbsp;through the tax, with this sum rising to 12 billion by 2024.

Chancellor Angela Merkel's government has managed to raise public spending without incurring new debt since 2014 thanks to an unusually long growth cycle, record-high employment, buoyant tax revenues and the European Central Bank's bond-buying plan.

But as Germany's borrowing costs sink to new lows almost daily and its economy cools in light of weaker foreign demand and bruising trade disputes, domestic and international calls to provide extra fiscal stimulus by running a small deficit again are becoming louder.

The majority of German taxpayers will no longer have to pay a "solidarity tax" introduced after the reunification of the country almost quarter of a century ago to support poorer eastern states, according to a draft law seen by Reuters.

The majority of German taxpayers will no longer have to pay a "solidarity tax" introduced after the reunification of the country almost quarter of a century ago to support poorer eastern states, according to a draft law seen by Reuters. The government, comprising Chancellor Angela Merkel's conservatives and Finance Minister Olaf Scholz's centre-left Social Democrats, in their 2018 coalition agreement laid down plans to help citizens on small and medium incomes. The draft law says that around 90 per cent of taxpayers should no longer pay the tax, which adds 5.5 per cent to income taxes, from 2021, calling it the most comprehensive tax reduction in over 10 years. Others who would still have to pay some solidarity tax would see lower tax increases overall through a cushioning mechanism applied to personal allowances, resulting in 96.5 per cent of all taxpayers benefitting from reductions. Changing the tax, that was first levied in 1995, in this way would imply around 10 billion euros ($11.20 billion) less income for the general budget from 2021 through the tax, with this sum rising to 12 billion by 2024. Chancellor Angela Merkel's government has managed to raise public spending without incurring new debt since 2014 thanks to an unusually long growth cycle, record-high employment, buoyant tax revenues and the European Central Bank's bond-buying plan. But as Germany's borrowing costs sink to new lows almost daily and its economy cools in light of weaker foreign demand and bruising trade disputes, domestic and international calls to provide extra fiscal stimulus by running a small deficit again are becoming louder.

Majority of Germans to stop paying 'solidarity tax' from 2021: Draft law

The Republican-controlled U.S. House of Representatives gave final approval on Wednesday to the biggest overhaul of the U.S. tax code in 30 years, sending a sweeping $1.5 trillion bill to President Donald Trump for his signature.

In sealing Trump&#39;s first major legislative victory, Republicans steamrolled opposition from Democrats to pass a bill that slashes taxes for corporations and the wealthy while giving mixed, temporary tax relief to middle-class Americans.

The House approved the measure, 224-201, passing it for the second time in two days after a procedural foul-up forced another vote on Wednesday. The Senate had passed it 51-48 in the early hours of Wednesday.

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<h5>By cutting taxes and reforming the broken system, we are now pouring rocket fuel into the engine of our economy,&#39; Trump said in a statement after the vote</h5>
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&quot;By cutting taxes and reforming the broken system, we are now pouring rocket fuel into the engine of our economy,&quot; Trump said in a statement after the vote.

Trump, who had emphasized a tax cut for middle-class Americans during his 2016 campaign, said at the start of a Cabinet meeting before the vote that lowering the corporate tax rate from 35 percent to 21 percent was &quot;probably the biggest factor in this plan.&quot;

Trump planned a tax-related celebration with U.S. lawmakers at the White House in the afternoon but will not sign the legislation immediately. The timing of the signing was still up in the air.

After Trump repeatedly urged Republicans to get it to him to sign before the end of the year, White House economic adviser Gary Cohn said the timing of signing the bill depends on whether automatic spending cuts triggered by the legislation could be waived. If so, the president will sign it before the end of the year, he said.

Business-friendly

In addition to cutting the U.S. corporate income tax rate to 21 percent, the debt-financed legislation gives other business owners a new 20 percent deduction on business income and reshapes how the government taxes multinational corporations along the lines the country&#39;s largest businesses have recommended for years.

Millions of Americans would stop itemizing deductions under the bill, putting tax breaks that incentivise home ownership and charitable donations out of their reach, but also making tax returns somewhat simpler and shorter.

The bill keeps the present number of tax brackets but adjusts many of the rates and income levels for each one. The top tax rate for high earners is reduced. The estate tax on inheritances is changed so far fewer people will pay.

Once signed, taxpayers likely would see the first changes to their paycheck tax withholdings in February. Most households will not see the full effect of the tax plan on their income until they file their 2018 taxes in early 2019.

In two provisions added to secure needed Republican votes, the legislation also allows oil drilling in Alaska&#39;s Arctic National Wildlife Refuge and removes a tax penalty under the Obamacare health law for Americans who do not obtain health insurance

&quot;We have essentially repealed Obamacare and we&#39;ll come up with something that will be much better,&quot; Trump said on Wednesday.

Democrats were united in opposition to the tax legislation, calling it a giveaway to the wealthy that will widen the income gap between rich and poor, while adding $1.5 trillion over the next decade to the $20 trillion national debt, which Trump promised in 2016 he would eliminate as president.

&#39;Pillaging&#39;

&quot;Today the Republicans take their victory lap for successfully pillaging the American middle class to benefit the powerful and the privileged,&quot; House Democratic leader Nancy Pelosi said.

A few Republicans, a party once defined by fiscal hawkishness, have protested the deficit-spending encompassed in the bill. But most voted for it anyway, saying it would help businesses and individuals while boosting an already expanding economy they see as not growing fast enough.

In the House, 12 Republicans voted against the tax bill. All but one, Walter Jones of North Carolina, were from the high-tax states of New York, New Jersey and California, which will be hit by the bill&#39;s cap on deductions for state and local taxes.

Despite Trump administration promises that the tax overhaul would focus on the middle class and not cut taxes for the rich, the nonpartisan Tax Policy Center, a think tank in Washington, estimated middle-income households would see an average tax cut of $900 next year under the bill, while the wealthiest 1 percent of Americans would see an average cut of $51,000.

The House was forced to vote again after the Senate parliamentarian ruled three minor provisions violated arcane Senate rules. To proceed, the Senate deleted the three provisions and then approved the bill.

Because the House and Senate must approve the same legislation before Trump can sign it into law, the Senate&#39;s late Tuesday vote sent the bill back to the House.

Democrats complained the bill was a product of a hurried, often secretive process that ignored them and much of the Republican rank-and-file. No public hearings were held and numerous narrow amendments favoured by lobbyists were added late in the process, tilting the package more toward businesses and the wealthy.

U.S. House Speaker Paul Ryan defended the bill in television interviews on Wednesday morning, saying support would grow for after it passes and Americans felt relief.

&quot;I think minds are going to change,&quot; Ryan said on ABC&#39;s &quot;Good Morning America&quot; program.

The Republican-controlled US House of Representatives gave final approval on Wednesday to the biggest overhaul of the US tax code in 30 years

The Republican-controlled U.S. House of Representatives gave final approval on Wednesday to the biggest overhaul of the U.S. tax code in 30 years, sending a sweeping $1.5 trillion bill to President Donald Trump for his signature. In sealing Trump's first major legislative victory, Republicans steamrolled opposition from Democrats to pass a bill that slashes taxes for corporations and the wealthy while giving mixed, temporary tax relief to middle-class Americans. The House approved the measure, 224-201, passing it for the second time in two days after a procedural foul-up forced another vote on Wednesday. The Senate had passed it 51-48 in the early hours of Wednesday. By cutting taxes and reforming the broken system, we are now pouring rocket fuel into the engine of our economy,' Trump said in a statement after the vote × "By cutting taxes and reforming the broken system, we are now pouring rocket fuel into the engine of our economy," Trump said in a statement after the vote. Trump, who had emphasized a tax cut for middle-class Americans during his 2016 campaign, said at the start of a Cabinet meeting before the vote that lowering the corporate tax rate from 35 percent to 21 percent was "probably the biggest factor in this plan." Trump planned a tax-related celebration with U.S. lawmakers at the White House in the afternoon but will not sign the legislation immediately. The timing of the signing was still up in the air. After Trump repeatedly urged Republicans to get it to him to sign before the end of the year, White House economic adviser Gary Cohn said the timing of signing the bill depends on whether automatic spending cuts triggered by the legislation could be waived. If so, the president will sign it before the end of the year, he said. Business-friendly In addition to cutting the U.S. corporate income tax rate to 21 percent, the debt-financed legislation gives other business owners a new 20 percent deduction on business income and reshapes how the government taxes multinational corporations along the lines the country's largest businesses have recommended for years. Millions of Americans would stop itemizing deductions under the bill, putting tax breaks that incentivise home ownership and charitable donations out of their reach, but also making tax returns somewhat simpler and shorter. The bill keeps the present number of tax brackets but adjusts many of the rates and income levels for each one. The top tax rate for high earners is reduced. The estate tax on inheritances is changed so far fewer people will pay. Once signed, taxpayers likely would see the first changes to their paycheck tax withholdings in February. Most households will not see the full effect of the tax plan on their income until they file their 2018 taxes in early 2019. In two provisions added to secure needed Republican votes, the legislation also allows oil drilling in Alaska's Arctic National Wildlife Refuge and removes a tax penalty under the Obamacare health law for Americans who do not obtain health insurance "We have essentially repealed Obamacare and we'll come up with something that will be much better," Trump said on Wednesday. Democrats were united in opposition to the tax legislation, calling it a giveaway to the wealthy that will widen the income gap between rich and poor, while adding $1.5 trillion over the next decade to the $20 trillion national debt, which Trump promised in 2016 he would eliminate as president. 'Pillaging' "Today the Republicans take their victory lap for successfully pillaging the American middle class to benefit the powerful and the privileged," House Democratic leader Nancy Pelosi said. A few Republicans, a party once defined by fiscal hawkishness, have protested the deficit-spending encompassed in the bill. But most voted for it anyway, saying it would help businesses and individuals while boosting an already expanding economy they see as not growing fast enough. In the House, 12 Republicans voted against the tax bill. All but one, Walter Jones of North Carolina, were from the high-tax states of New York, New Jersey and California, which will be hit by the bill's cap on deductions for state and local taxes. Despite Trump administration promises that the tax overhaul would focus on the middle class and not cut taxes for the rich, the nonpartisan Tax Policy Center, a think tank in Washington, estimated middle-income households would see an average tax cut of $900 next year under the bill, while the wealthiest 1 percent of Americans would see an average cut of $51,000. The House was forced to vote again after the Senate parliamentarian ruled three minor provisions violated arcane Senate rules. To proceed, the Senate deleted the three provisions and then approved the bill. Because the House and Senate must approve the same legislation before Trump can sign it into law, the Senate's late Tuesday vote sent the bill back to the House. Democrats complained the bill was a product of a hurried, often secretive process that ignored them and much of the Republican rank-and-file. No public hearings were held and numerous narrow amendments favoured by lobbyists were added late in the process, tilting the package more toward businesses and the wealthy. U.S. House Speaker Paul Ryan defended the bill in television interviews on Wednesday morning, saying support would grow for after it passes and Americans felt relief. "I think minds are going to change," Ryan said on ABC's "Good Morning America" program.

US House approves sweeping tax bill in a win for Trump

Congressional Republicans took important steps on Thursday toward the biggest US&nbsp;tax-code overhaul since the 1980s, with the House of Representatives approving a broad package of tax cuts, and a Senate panel advancing its own version of the legislation sought by senior lawmakers and <a href="http://www.wionews.com/india-news/modi-holds-bilateral-talks-with-trump-in-manila-24102">President Donald Trump</a>.

The House vote shifted the tax debate to the Senate, where a tax-writing panel finished debating and approved a bill late Thursday evening. That measure has already encountered resistance from some within the Republicans ranks. Full Senate action is expected after next week&rsquo;s Thanksgiving holiday.

<a href="http://www.wionews.com/world/donald-trump-stops-abruptly-to-drink-water-while-giving-a-speech-and-internet-cant-stop-having-a-laugh-24351">Four Republican senators</a> - enough to derail the legislation - have been talking privately about opposing the bill because it would balloon the federal deficit, according to a Time magazine report.

Trump, who is still seeking his first major legislative win since taking office in January, went to the US&nbsp;Capitol just before the House vote to urge Republicans to pass the tax bill, which Democrats call a giveaway to the wealthy and businesses.

&ldquo;A simple, fair and competitive tax code will be rocket fuel for our economy, and it&rsquo;s within our reach. Now is the time to deliver,&rdquo; White House spokeswoman Sarah Sanders said after the largely party-line House vote of 227-205.

Congress has not thoroughly overhauled the sprawling US&nbsp;tax code since Republican Ronald Reagan was president. The House measure is not as comprehensive as Reagan&rsquo;s 1986 package, but it is more ambitious than anything since then.

The path forward for the tax plan in the Senate, where Republicans have a narrow majority, is fraught with obstacles about concerns over the deficit, healthcare and the distribution of tax benefits. Republicans can lose no more than two Senate votes if Democrats remain united in opposition.

Senate Republican tax-writers earlier this week made the risky decision of tying their plan to a repeal of the requirement for people to get healthcare insurance under former <a href="http://www.wionews.com/world/hillary-clinton-takes-centre-stage-on-final-day-of-democratic-party-convention-3505">President Barack Obama</a>&rsquo;s Affordable Care Act. That exposed the tax initiative to the same political forces that wrecked Republicans&rsquo; anti-Obamacare push earlier in July.

<a href="http://www.wionews.com/world/us-president-trump-suffers-setback-as-house-delays-vote-on-healthcare-bill-13725">The House bill</a>, estimated to increase the federal deficit by nearly $1.5 trillion over 10 years, would consolidate individual and family tax brackets to four from seven and reduce the corporate tax rate to 20 percent from 35 percent.

It also would scale back or end some popular tax deductions, including one for state and local income taxes, while preserving a capped deduction for property tax payments.

Democrats have pointed to analyses showing millions of Americans could end up with a tax hike because of eliminated deductions. Repealing or shrinking some deductions is a way to offset the revenue lost from tax cuts.

&ldquo;It&rsquo;s a shameful piece of legislation, and the Republicans should know better,&rdquo; House Democratic leader Nancy Pelosi told lawmakers before the vote.

Senate Democratic leader Chuck Schumer warned Republicans that by increasing the deficit, the tax bill would imperil other important priorities such as military spending.

Thirteen House Republicans opposed the bill, all but one from <a href="http://www.wionews.com/photos/indian-roots-american-soil-555">New York, New Jersey or California</a> - states with high taxes where residents would feel the pinch from eliminating the deduction for state and local income taxes.

&ldquo;This fight is not over. I look forward to continuing negotiations to improve this proposal for my constituents,&rdquo; said Republican Representative Lee Zeldin of New York, who voted against the bill.

Investors have cheered the prospect of a tax overhaul. US&nbsp;stocks rose and the dollar edged higher against a basket of major currencies on Thursday after the House vote.

Brian Battle, director of trading at Performance Trust Capital Partners in Chicago, said stocks&rsquo; strong gains on the day were helped by the House vote.

&ldquo;It&rsquo;s helping stocks now and the bond market&rsquo;s turned around,&rdquo; he said. &ldquo;The tax plan isn&rsquo;t a foregone conclusion, but it passed the lowest hurdle in the House. The even higher hurdle is to have something pass in the Senate.&rdquo;

Republicans have long promised tax cuts and see enacting them as critical to their prospects of retaining power in Washington in the November 2018 congressional elections, particularly after failing to meet their promise to repeal the Affordable Care Act, better known as Obamacare.

But it will be a challenge in the 100-seat Senate, where Republicans have only a 52-48 majority.

Senators Jeff Flake and James Lankford are among the four Republicans considering opposing the plan, Time reported.

A Lankford spokesman said he was &ldquo;eager to work with colleagues to pass tax reform.&rdquo;

Flake, who often clashes with Trump and has announced he will not seek re-election next year, told Reuters on Thursday he was &ldquo;more worried about the fiscal problem&rdquo; than other issues.

Several other senators, including Ron Johnson and Susan Collins, who helped sink the Republican effort to repeal Obamacare, have expressed concerns.

Johnson announced his opposition because of what he said were unequal rates for small businesses and non-corporate enterprises known as &ldquo;pass-throughs,&rdquo; versus corporations. He is working with the White House to fix the issue, he told Reuters.

Congressional Republicans took important step towards the biggest US tax-code overhaul since the 1980s, with the House of Representatives approving a broad package of tax cuts, and a Senate panel advancing its own version of the legislation sought by senior lawmakers and President Donald

Congressional Republicans took important steps on Thursday toward the biggest US tax-code overhaul since the 1980s, with the House of Representatives approving a broad package of tax cuts, and a Senate panel advancing its own version of the legislation sought by senior lawmakers and President Donald Trump. The House vote shifted the tax debate to the Senate, where a tax-writing panel finished debating and approved a bill late Thursday evening. That measure has already encountered resistance from some within the Republicans ranks. Full Senate action is expected after next week’s Thanksgiving holiday. Four Republican senators - enough to derail the legislation - have been talking privately about opposing the bill because it would balloon the federal deficit, according to a Time magazine report. Trump, who is still seeking his first major legislative win since taking office in January, went to the US Capitol just before the House vote to urge Republicans to pass the tax bill, which Democrats call a giveaway to the wealthy and businesses. “A simple, fair and competitive tax code will be rocket fuel for our economy, and it’s within our reach. Now is the time to deliver,” White House spokeswoman Sarah Sanders said after the largely party-line House vote of 227-205. Congress has not thoroughly overhauled the sprawling US tax code since Republican Ronald Reagan was president. The House measure is not as comprehensive as Reagan’s 1986 package, but it is more ambitious than anything since then. The path forward for the tax plan in the Senate, where Republicans have a narrow majority, is fraught with obstacles about concerns over the deficit, healthcare and the distribution of tax benefits. Republicans can lose no more than two Senate votes if Democrats remain united in opposition. Senate Republican tax-writers earlier this week made the risky decision of tying their plan to a repeal of the requirement for people to get healthcare insurance under former President Barack Obama’s Affordable Care Act. That exposed the tax initiative to the same political forces that wrecked Republicans’ anti-Obamacare push earlier in July. The House bill, estimated to increase the federal deficit by nearly $1.5 trillion over 10 years, would consolidate individual and family tax brackets to four from seven and reduce the corporate tax rate to 20 percent from 35 percent. It also would scale back or end some popular tax deductions, including one for state and local income taxes, while preserving a capped deduction for property tax payments. Democrats have pointed to analyses showing millions of Americans could end up with a tax hike because of eliminated deductions. Repealing or shrinking some deductions is a way to offset the revenue lost from tax cuts. “It’s a shameful piece of legislation, and the Republicans should know better,” House Democratic leader Nancy Pelosi told lawmakers before the vote. Senate Democratic leader Chuck Schumer warned Republicans that by increasing the deficit, the tax bill would imperil other important priorities such as military spending. Thirteen House Republicans opposed the bill, all but one from New York, New Jersey or California - states with high taxes where residents would feel the pinch from eliminating the deduction for state and local income taxes. “This fight is not over. I look forward to continuing negotiations to improve this proposal for my constituents,” said Republican Representative Lee Zeldin of New York, who voted against the bill. Investors have cheered the prospect of a tax overhaul. US stocks rose and the dollar edged higher against a basket of major currencies on Thursday after the House vote. Brian Battle, director of trading at Performance Trust Capital Partners in Chicago, said stocks’ strong gains on the day were helped by the House vote. “It’s helping stocks now and the bond market’s turned around,” he said. “The tax plan isn’t a foregone conclusion, but it passed the lowest hurdle in the House. The even higher hurdle is to have something pass in the Senate.” Republicans have long promised tax cuts and see enacting them as critical to their prospects of retaining power in Washington in the November 2018 congressional elections, particularly after failing to meet their promise to repeal the Affordable Care Act, better known as Obamacare. But it will be a challenge in the 100-seat Senate, where Republicans have only a 52-48 majority. Senators Jeff Flake and James Lankford are among the four Republicans considering opposing the plan, Time reported. A Lankford spokesman said he was “eager to work with colleagues to pass tax reform.” Flake, who often clashes with Trump and has announced he will not seek re-election next year, told Reuters on Thursday he was “more worried about the fiscal problem” than other issues. Several other senators, including Ron Johnson and Susan Collins, who helped sink the Republican effort to repeal Obamacare, have expressed concerns. Johnson announced his opposition because of what he said were unequal rates for small businesses and non-corporate enterprises known as “pass-throughs,” versus corporations. He is working with the White House to fix the issue, he told Reuters.

Tax overhaul moves to Senate as US House approves bill

Alphabet Inc&#39;s Google is expected to reach a tax settlement with the Indonesian government in the next few weeks, people familiar with the matter told Reuters.

Under the proposed settlement, Google will pay back taxes and fines, and the search giant will have to agree to a new calculation of profits made in the country, said one of the people, who declined to be named as the information was not public.

If the settlement goes ahead, it could pave the way for more countries to aggressively pursue back taxes from internet companies like Google, analysts say.

A tax office spokesman declined to comment. A Google spokesman also declined to comment.

Most of the revenue generated by Google in Indonesia is booked at its Asia Pacific headquarters in Singapore, according to the tax office.

A senior tax official said in September that Indonesia planned to pursue Google for five years of back taxes, and the company could face a bill of more than $400 million for 2015 alone if it were found to have avoided payments.

&quot;I think other countries that have a significant population will also try to chase Google for taxes,&quot; said Yustinus Prastowo, executive director of the Center for Indonesia Taxation Analysis.

Indonesia, which launched a tax amnesty scheme in July to lure back billions of dollars stashed abroad, is eager to ramp up its tax collection to narrow its budget deficit and fund an ambitious infrastructure programme.

The country of 250 million people has a youthful demographic that is among the world&#39;s biggest users of social media like Facebook and Twitter.

Senior executives from Google&#39;s Asia Pacific headquarters had met with Indonesian tax officials several times to negotiate its tax bill, people familiar with the matter told Reuters.

In January, Google agreed to pay 130 million pounds ($185 million) in back taxes to settle a probe by Britain&#39;s tax authority, which had challenged the company&#39;s low tax returns for the years since 2005.

Other governments around the world are also seeking to clamp down on what they see as egregious corporate tax avoidance.

Thailand is studying plans to toughen tax collection rules for internet and technology firms, the head of the country&#39;s revenue department told Reuters in September.

Australia announced a further crackdown on multinational tax avoidance in its annual budget in May, including the planned introduction of a UK-style diverted profits tax.

(Reuters)

Under the proposed deal, Google will pay back taxes and fines, and will have to agree to a new calculation of profits made in the country

Alphabet Inc's Google is expected to reach a tax settlement with the Indonesian government in the next few weeks, people familiar with the matter told Reuters. Under the proposed settlement, Google will pay back taxes and fines, and the search giant will have to agree to a new calculation of profits made in the country, said one of the people, who declined to be named as the information was not public. If the settlement goes ahead, it could pave the way for more countries to aggressively pursue back taxes from internet companies like Google, analysts say. A tax office spokesman declined to comment. A Google spokesman also declined to comment. Most of the revenue generated by Google in Indonesia is booked at its Asia Pacific headquarters in Singapore, according to the tax office. A senior tax official said in September that Indonesia planned to pursue Google for five years of back taxes, and the company could face a bill of more than $400 million for 2015 alone if it were found to have avoided payments. "I think other countries that have a significant population will also try to chase Google for taxes," said Yustinus Prastowo, executive director of the Center for Indonesia Taxation Analysis. Indonesia, which launched a tax amnesty scheme in July to lure back billions of dollars stashed abroad, is eager to ramp up its tax collection to narrow its budget deficit and fund an ambitious infrastructure programme. The country of 250 million people has a youthful demographic that is among the world's biggest users of social media like Facebook and Twitter. Senior executives from Google's Asia Pacific headquarters had met with Indonesian tax officials several times to negotiate its tax bill, people familiar with the matter told Reuters. In January, Google agreed to pay 130 million pounds ($185 million) in back taxes to settle a probe by Britain's tax authority, which had challenged the company's low tax returns for the years since 2005. Other governments around the world are also seeking to clamp down on what they see as egregious corporate tax avoidance. Thailand is studying plans to toughen tax collection rules for internet and technology firms, the head of the country's revenue department told Reuters in September. Australia announced a further crackdown on multinational tax avoidance in its annual budget in May, including the planned introduction of a UK-style diverted profits tax. (Reuters)

Google nears tax settlement with Indonesian government: Sources

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