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 WarnerTalk grows that Trump will fire Dan Coats Harris on election security: 'Russia can't hack a piece of paper' Schiff: Evidence of collusion between Trump campaign, Russia 'pretty compelling' MORE (Va.), Jeanne ShaheenCynthia (Jeanne) Jeanne ShaheenCongress must step up to protect Medicare home health care Dems slam EPA plan for fighting drinking water contaminants Bipartisan Senators reintroduce legislation to slap new sanctions on Russia MORE (N.H.), Bob CaseyRobert (Bob) Patrick CaseyGOP wants to pit Ocasio-Cortez against Democrats in the Senate Biden speaking to Dems on Capitol Hill as 2020 speculation mounts: report GOP senators: Trump should not declare border emergency during State of the Union MORE Jr. (Pa.), and Patty MurrayPatricia (Patty) Lynn MurrayJohnson & Johnson subpoenaed by DOJ and SEC, company says Top Dems blast administration's proposed ObamaCare changes Overnight Health Care — Sponsored by America's 340B Hospitals — Dems blast rulemaking on family planning program | Facebook may remove anti-vaccine content | Medicare proposes coverage for new cancer treatment 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.