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Stocks A to Z / Stocks B / Berkshire Hathaway (BRK.A)
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Author: Astore ✸  😊 😞
Number: of 15053 
Subject: Section 899 of BIG, beatiful Bill
Date: 05/30/2025 6:29 AM
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No. of Recommendations: 24
FT on a ticking time bond for non-American holders of US assets.

https://www.ft.com/content/96e9d529-32d0-424e-8024...

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"But what investors should also fret about, if they care about the state of Treasuries or are a non-American entity holding US assets, is a clause buried in the bowels of this behemoth called section 899. This would enable the US Treasury to impose penalties on “applicable persons” from “discriminatory foreign countries” by increasing US federal income tax and withholding rates by up to 20 percentage points on their US investments, on a variable scale. It might thus be viewed as a novel “revenge tax” (as some lawyers call it) that Trump could use to bully friends and foes alike in trade negotiations".

Astore
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Author: OrmontUS ✶🐝🐝  😊 😞
Number: of 15053 
Subject: Re: Section 899 of BIG, beatiful Bill
Date: 05/30/2025 6:55 AM
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No. of Recommendations: 10
This is huge as it allows the US (unclear if it is Congress or the presiident) to launch a "capital war" with, or without, a trade war if it wishes. From the standpoint of a foreign government/entity, if I was assigning "political" risk to nations as a function of what return I desired on bonds (or other investments), this would put a heavy thumb on the scale for me. I would also thing that "retaliatory" wording would begin to crfop up as laws in other countries - throwing cold water on investments world-wide.

Jeff
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Author: mungofitch ✹🐝🐝🐝🐝 SILVER
SHREWD   😊 😞
Number: of 15053 
Subject: Re: Section 899 of BIG, beatiful Bill
Date: 05/30/2025 8:10 AM
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No. of Recommendations: 10
A thread at METAR board
https://www.shrewdm.com/MB?pid=174292832&wholeThre...

Jim
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Author: Brickeye ✸  😊 😞
Number: of 15053 
Subject: Re: Section 899 of BIG, beatiful Bill
Date: 06/01/2025 9:33 PM
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The US government already does this with with dividend income where 30% is withheld upon receipt of dividends. I can't see this being a good idea with bond interest. No reason to give foreign countries any more reason for dumping our bonds. Hopefully this gets taken our or never enacted. It would be a huge self inflicted wound!
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