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Senators Request Renegotiation of U.S.-Japan Income Tax Treaty

OCT. 25, 1999

Senators Request Renegotiation of U.S.-Japan Income Tax Treaty

DATED OCT. 25, 1999
DOCUMENT ATTRIBUTES
  • Authors
    Helms, Sen. Jesse
    Biden, Sen. Joseph R., Jr.
    Hagel, Sen. Chuck
  • Institutional Authors
    Senate
    Foreign Relations Committee
  • Cross-Reference
    For text of the United States-Japan income tax treaty, with notes,

    signed March 8, 1971, see Doc 93-30933 (130 pages) or 86 TNI 8-27 .
  • Subject Area/Tax Topics
  • Index Terms
    tax treaties
    legislation, tax
  • Jurisdictions
  • Language
    English
  • Tax Analysts Document Number
    Doc 2000-4990 (1 original page)
  • Tax Analysts Electronic Citation
    2000 TNT 67-33

 

=============== SUMMARY ===============

 

Senate Foreign Relations Committee members Jesse Helms, R-N.C., Joseph R. Biden Jr., D-Del., and Chuck Hagel, R-Neb., have asked the administration to renegotiate the U.S.-Japan income tax treaty in an October 25, 1999, letter to Treasury Secretary Lawrence H. Summers. (For text of the United States-Japan income tax treaty, with notes, signed March 8, 1971, see Doc 93-30933 (130 pages) or 86 TNI 8-27 .)

 

=============== FULL TEXT ===============

 

UNITED STATES SENATE

 

 

COMMITTEE ON FOREIGN RELATIONS

 

WASHINGTON, DC 20510-6225

 

 

October 25, 1999

 

 

The Honorable Lawrence H. Summers

 

Secretary of the Treasury

 

1500 Pennsylvania Avenue

 

Washington D.C. 20220

 

 

Dear Mr. Secretary:

 

 

[1] There appears to [be] an urgent need for you to undertake the renegotiation of the Income Tax Convention between the United States and Japan.

[2] The U.S.-Japan treaty, negotiated more than three decades ago and ratified in 1972, is sadly outdated and does not begin to reflect the modern treaties the United States has with other major trading partners.

[3] For many U.S. companies, the high withholding rates stipulated in the treaty constitute a trade barrier to investment in Japan. In addition, renegotiation of the treaty will update other provisions of the treaty important to the United States such as the competent authority mechanism, which has been overly slow in resolving disputes between businesses and the relevant taxing authority.

[4] Mr. Secretary, we are aware that informal talks with Japanese officials are occurring. We hope, however, that formal negotiations will be commenced as soon as possible. We are certain you will agree that a new treaty consistent with United States tax policy would benefit both countries and increase investment opportunities.

Sincerely,

 

 

JESSE HELMS

 

 

JOSEPH R. BIDEN, Jr.

 

 

CHUCK HAGEL
DOCUMENT ATTRIBUTES
  • Authors
    Helms, Sen. Jesse
    Biden, Sen. Joseph R., Jr.
    Hagel, Sen. Chuck
  • Institutional Authors
    Senate
    Foreign Relations Committee
  • Cross-Reference
    For text of the United States-Japan income tax treaty, with notes,

    signed March 8, 1971, see Doc 93-30933 (130 pages) or 86 TNI 8-27 .
  • Subject Area/Tax Topics
  • Index Terms
    tax treaties
    legislation, tax
  • Jurisdictions
  • Language
    English
  • Tax Analysts Document Number
    Doc 2000-4990 (1 original page)
  • Tax Analysts Electronic Citation
    2000 TNT 67-33
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