Expressing the sense of the House of Representatives on the value of a tax agreement with Taiwan.

IV 118TH CONGRESS 1ST SESSION H. RES. 449 Expressing the sense of the House of Representatives on the value of a tax agreement with Taiwan. IN THE HOUSE OF REPRESENTATIVES MAY 25, 2023 Mr. SMITH of Nebraska (for himself, Ms. DELBENE, Ms. MALLIOTAKIS, and Ms. CHU) submitted the following resolution; which was referred to the Committee on Ways and Means, and in addition to the Committee on Foreign Affairs, for a period to be subsequently determined by the Speak- er, in each case for consideration of such provisions as fall within the ju- risdiction of the committee concerned RESOLUTION Expressing the sense of the House of Representatives on the value of a tax agreement with Taiwan. Whereas Taiwan is a democratic success story, an economic success story, a key part of global technology supply chains, and a close security partner of the United States; Whereas the United States has pursued a robust unofficial partnership with Taiwan within the context of the cur- rent one-China policy of the United States; Whereas the Taiwan Relations Act (22 U.S.C. 3301 et seq.) has played an important role in promoting democracy and prosperity in Taiwan, peace and security in the Tai- VerDate Sep 11 2014 22:34 May 25, 2023 Jkt 039200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6300 E:\BILLS\HR449.IH HR449 pbinns on DSKJLVW7X2PROD with $$_JOB 2 •HRES 449 IH wan Strait, and close relations between the United States and Taiwan since 1979; Whereas Taiwan is the eighth-largest trading partner of the United States, United States exports of goods and serv- ices to Taiwan support at least 188,000 American jobs, and Taiwan’s cumulative investment in the United States is at least $13,700,000,000; Whereas the United States has ongoing economic dialogues with Taiwan that cover a range of trade, technology, and investment issues through the Trade and Investment Framework Agreement Council led by the United States Trade Representative, the U.S.-Taiwan Economic Pros- perity Partnership Dialogue led by the Department of State, and the Technology, Trade, and Investment Col- laboration framework led by the Department of Com- merce; Whereas the Biden Administration announced the ‘‘U.S.-Tai- wan Initiative on 21st Century Trade’’ on June 1, 2022; Whereas the United States has income tax treaties with 66 countries, including the People’s Republic of China, and has agreements with other parties, including Taiwan, re- lated to taxation, such as facilitating implementation of the Foreign Account Tax Compliance Act; Whereas Taiwan is the United States largest trading partner with whom we do not have an income tax treaty; Whereas Taiwan has income tax agreements with 34 coun- tries, including countries that have trade agreements with the United States and do not maintain diplomatic rela- tions with Taiwan; Whereas the United States signed a transportation income tax agreement with Taiwan in 1988, under the auspices VerDate Sep 11 2014 22:34 May 25, 2023 Jkt 039200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6300 E:\BILLS\HR449.IH HR449 pbinns on DSKJLVW7X2PROD with $$_JOB 3 •HRES 449 IH of the American Institute in Taiwan (AIT) and the Co- ordination Council for North American Affairs, which has since been renamed as the Taipei Economic and Cultural Representative Office (TECRO); Whereas an income tax agreement between the United States and Taiwan could boost bilateral trade and investment by reducing double taxation and increasing economic effi- ciency and integration; and Whereas the American Chamber of Commerce in Taipei in its ‘‘2022 White Paper’’ called for the United States and Taiwan to continue exploring an income tax agreement: Now, therefore, be it Resolved, That the House of Representatives— 1 (1) recognizes the importance of Taiwan’s secu- 2 rity and prosperity to the United States own secu- 3 rity and prosperity; 4 (2) encourages the President and the Senate to 5 work with the House of Representatives to avoid or 6 mitigate double taxation between the United States 7 and Taiwan, consistent with United States commit- 8 ments under the Taiwan Relations Act (22 U.S.C. 9 3301 et seq.); and 10 (3) encourages the President to proactively seek 11 other ways to increase trade, technology, and invest- 12 ment ties between the United States and Taiwan. 13 Æ VerDate Sep 11 2014 22:34 May 25, 2023 Jkt 039200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6301 E:\BILLS\HR449.IH HR449 pbinns on DSKJLVW7X2PROD with $$_JOB