The Trump administration took a well-deserved victory lap last week for repealing more than 100 Biden-era rules for every new regulation. This will save U.S. businesses potentially hundreds of billions of dollars of unnecessary costs. Gone are discriminatory racial preferences, Green New Deal mandates and electric vehicle mandates — to name a few.
President Donald Trump has solidly established himself as the “deregulation president.”
That’s why it’s an ongoing mystery why the Trump Treasury Department and IRS have refused to repeal one of former President Joe Biden’s most onerous rules of all: targeting business partnerships for $50 billion of new tax liabilities. Business partnerships are a common legal form of American business arrangements.
This giant stealth tax increase was NEVER voted on or approved by Congress. It appears to be a blatant violation of the constitutional requirement that all tax bills start in the House of Representatives. The House never even saw this tax hike coming. Talk about a “danger to democracy.”
The U.S. has more than 4 million partnerships — employing more than 10 million people — that could be affected.
Many small family businesses use partnership arrangements routinely.
The U.S. Chamber of Commerce, the Heritage Foundation, Americans for Tax Reform, the National Taxpayers Union and the Job Creators Network have all urged the GOP to rescind the Biden backdoor tax increase.