GOP Tax Writer Floats Bill to Boost Business Interest Deductions

American companies facing higher after-tax capital costs because of how tax law excludes global income from interest deductibility calculations would get a break under new legislation proposed by a GOP House tax writer.

Rep. Ron Estes (R-Kan.) is introducing legislation that would repeal the adjusted taxable income limitation that excludes some global income of US companies. The bill has about a dozen GOP cosponsors.

“As it currently stands, our tax code is penalizing American businesses for growing—when a manufacturer borrows money in the United States to expand their global business, they shouldn’t be slammed with a surprise ...