A rare bipartisan effort in the Senate sees Sheldon Whitehouse teaming up with Republican JD Vance of Ohio file legislation that would end what they refer to as “tax free mergers.”
“Record numbers of giant corporate mergers have created an anti-competitive economic landscape. The families who get stuck paying higher prices as a result of these mega-mergers should not also have to foot the tax bill for them,” said Whitehouse. “Our bipartisan bill will end a massive tax giveaway for giant corporate mergers and get our government out of the business of subsidizing corporate consolidation.”
“Massive corporate mergers rarely produce their promised benefits but often leave American workers and families behind. It’s past time to close the unfair loopholes that allow these deals to escape tax liability. This commonsense, bipartisan legislation will ensure our nation’s largest corporations are held to a fair standard while preserving protections for small businesses to grow,” said Vance.
Whitehouse says more mergers are happening and it is the taxpayer that foots the bill through higher prices and less competition. The measure ends tax breaks for mergers based on stock exchanges rather than money only deals.
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