Brown is one of a handful of centrist Senate Republicans who Democratic leaders thought might support the tax increase.
His opposition to the increase, along with Democratic Sens. Mark WarnerMark WarnerSo what if banks push fancy cards? Give consumers the steak they want Five questions for the House's new Russia investigator Why an independent counsel is necessary in an election probe MORE (Va.), Jeanne Shaheen Jeanne ShaheenRussian interference looms over European elections Restore funding to United Nations Population Fund Senators urge Tillerson to meet with Russian opposition activists MORE (N.H.), Bob CaseyBob CaseyPennsylvania GOP rep announces bid for Casey's Senate seat We need to pass the Anti-Semitism Awareness Act to fight hate and bigotry At the table: The importance of advocating for ABLE MORE Jr. (Pa.), and Patty MurrayPatty MurrayOvernight Healthcare: GOP healthcare talks stall | Ryan takes backset to Pence in new repeal effort | FDA nominee grilled over industry ties Senators battle over FDA nominee's financial ties FDA nominee won't commit to banning flavored e-cigarettes, cigars MORE (Wash.), who also signed the letter, makes it seem virtually impossible Senate leaders will get the 60 votes they need to pass the extender legislation from the chamber.
Democratic leaders in both chambers hope to advance the bill to the White House before the Memorial Day recess. To accomplish this feat, they might replace the tax increase on carried interest with a tax increase on foreign insurers, sources told The Hill last night.
The replacement provision would no longer permit foreign-controlled insurers to write off profits made on U.S. policies and would raise raise approximately $17 billion, according to the Joint Committee on Taxation.
The tax increase on carried interest is expected to raise $20 billion, meaning lawmakers would need to find additional offsets worth $3 billion if they go the foreign insurer route.