Lawmakers Propose Revoking Tax Breaks for Investing in China

The bill targets investments with ties to the CCP, and specifically notes it doesn’t apply to Taiwan.

Rep. John Moolenaar (R-Mich.) at the U.S. Capitol in Washington on Sept. 10, 2024. Kent Nishimura/Getty Images

Rep. John Moolenaar (R-Mich.) and Sen. Marco Rubio (R-Fla.) introduced a bill on Sept. 26 that would revoke preferential capital gains rates for investments tied to China.

The proposed change to the tax code is meant to dissuade American businesses and funds from supporting the Chinese Communist Party (CCP), which lawmakers and the intelligence community have increasingly warned is a national security risk in recent years.