WASHINGTON, D.C. – Today, U.S. Senator John Barrasso (R-Wyo.) introduced legislation to repeal the largest tax hike from the Democrats’ 2022 reckless tax and spending bill that makes it harder to invest, produce, and manufacture in the United States.
The book minimum tax is an arcane tax on U.S. job creators investing in America. The tax removes longstanding provisions to help promote economic growth and investments while creating loopholes for special interest groups. The Book Minimum Tax Repeal Act (S. 796) will end this harmful provision and stop unelected bureaucrats from manipulating tax policy to benefit their favorite industries.
“Reckless and complicated taxes like the book minimum tax undermine our nation’s supply chain, threaten our energy security, and send jobs and investments overseas,” said Senator Barrasso. “Companies that want to invest in our country, create more American jobs, and unleash American energy don’t need more punishing taxes. They especially don’t need unelected bureaucrats gaining more control of U.S. tax policy. We need to repeal this reckless and failed tax once and for all.”
Co-sponsors of this legislation include U.S. Senators Mike Crapo (R-Idaho), James Lankford (R-Okla.), Jim Risch (R-Idaho), Cynthia Lummis (R-Wyo.), Steve Daines (R-Mont.), Bill Cassidy (R-La.), Marsha Blackburn (R-Tenn.), and Pete Ricketts (R-Neb.).
Supporters of this legislation include the National Association of Manufacturers, American Petroleum Institute, American Institute of Certified Public Accountants, National Mining Association, Independent Petroleum Association of America, Energy Infrastructure Council, U.S. Chamber of Commerce, Interstate Natural Gas Association of America, and the Western Energy Alliance.
“The Book Minimum Tax Repeal Act will reduce damaging tax burdens on manufacturers, helping to ensure that the next manufacturing dollar is spent in America and enabling the growth of family-supporting jobs across the industry. Manufacturers commend Sen. Barrasso for his leadership on pro-growth, pro-manufacturing tax policy, and we encourage Congress to pass this important legislation and to preserve crucial provisions from the Tax Cuts and Jobs Act in order to strengthen manufacturers’ ability to invest, grow, and create jobs here in the United States.” – Charles Crain, Managing Vice President of Policy, National Association of Manufacturers
“The book minimum tax harms U.S. competitiveness and undermines our industry’s ability to meet growing demand for affordable, reliable energy. We thank Senator Barrasso for his leadership in repealing this punitive tax and urge Congress to pass this important legislation.” – Amanda Eversole, Executive Vice President and Chief Advocacy Officer, API
“The AICPA maintains its long-standing opposition to the corporate AMT, which has created additional burdens for many businesses by increasing tax code complexity and risking interference with accounting rule-making and financial reporting. We appreciate Senator Barrasso’s diligent work to repeal the corporate AMT and offer our support.” – Mark Koziel, CPA, CGMA, President and CEO, American Institute of CPAs
“Recognizing the economic instability this country has experienced over the last few years, Senator Barrasso is taking action with commonsense legislation to support our economy. Instead of adding to the financial burden of job creators, we need to reshore our supply chains, ramp up production of American energy and materials, and strengthen our economy through solid job creation in foundational industries. By not raising taxes, Senator Barrasso’s bill will help achieve those goals.” – Rich Nolan, President and CEO, National Mining Association
“IPAA commends Senator Barrasso for introducing this common sense legislation. Raising taxes on energy means raising costs for working families. IPAA applauds Senator Barrasso’s efforts to keep energy reliable and affordable for all Americans.” – Jeff Eshelman, President and CEO, IPAA
“We thank Senator Barrasso for his strong leadership and deep understanding of the vital role a robust domestic energy industry plays in America’s security and economic strength. His introduction of The Book Minimum Tax Repeal Act is a crucial step toward ensuring the U.S. remains energy dominant. Repealing the corporate alternative minimum tax is essential, as it diverts critical capital away from business expansion, job creation, and economic growth—capital that should be invested in expanding operations, enhancing infrastructure, and securing America’s energy future. Greater energy investment not only strengthens our supply chains and lowers costs for consumers, but also plays a key role in combatting inflation by keeping energy prices stable and affordable.” – Lori Ziebart, President & CEO, Energy Infrastructure Council
“The U.S. Chamber of Commerce commends Senator Barrasso for reintroducing legislation to repeal the ill-conceived corporate alternative minimum tax (AMT). As the Chamber and others have consistently warned, using financial statement (book) income as the base for a new tax regime is the antithesis of sound tax policy—it adds undue complexity to the federal tax laws while imposing inordinate compliance and administration costs. Even worse, the corporate AMT arbitrarily punishes U.S. companies for making certain investments treated differently for book and tax purposes, which is distortionary. Unless repealed, the net effect of this regime will be less capital investment in the United States, making America poorer and reducing future economic growth.” – Watson M. McLeish, Senior Vice President, Tax Policy, U.S. Chamber of Commerce
“The book minimum tax was specifically designed to target the oil and natural gas industry even though America needs more domestically produced energy to keep prices affordable for consumers, not less. Congress significantly increased costs on American energy producers in the inaptly named Inflation Reduction Act, thereby ensuring energy inflation continues well into the future. Senator Barrasso’s bill to reverse the book minimum tax would correct bad policy designed to harm producers of the energy that meets over 70% of Americans’ needs. All forms of energy are necessary to ensure our society functions properly, but IRA was ill-conceived to disadvantage the very sources of energy that supply the vast majority of American energy while favoring intermittent sources that provide a small fraction. We urge Congress to pass the Book Minimum Tax Repeal Act.” – Kathleen Sgamma, President of Western Energy Alliance
Full text of the legislation can be found here.
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