Tax increase on carried interest struggles in the Senate

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 Robert WarnerTrump: Why isn't Senate looking into 'Fake News Networks'? 5 takeaways from Senate Russian meddling presser Trump: 'America is truly a nation in mourning' MORE (Va.), Jeanne ShaheenCynthia (Jeanne) Jeanne ShaheenHomeland Security searching some social media doesn't violate privacy The feds shouldn't blackball Kaspersky without public evidence Week ahead: Crunch time for defense bill’s cyber reforms | Equifax under scrutiny MORE (N.H.), Bob CaseyRobert (Bob) Patrick CaseyDem senator: Inaction on gun control sending 'unintentional endorsement' Congress has a chance to make saving for college a lot easier Sen. Manchin won’t vote for Trump’s mine safety nominee MORE Jr. (Pa.), and Patty MurrayPatricia (Patty) Lynn MurrayChildren’s health-care bill faces new obstacles Overnight Health Care: Schumer calls for tying ObamaCare fix to children's health insurance | Puerto Rico's water woes worsen | Dems plead for nursing home residents' right to sue Schumer calls for attaching ObamaCare fix to children's health insurance 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.