The bill, titled the “Territorial Tax Parity and Fairness Act,” proposes changes to the Internal Revenue Code of 1986. It aims to ensure that certain bona fide residents of the Virgin Islands, who are shareholders in corporations organized under Virgin Islands law, are not considered United...
Simple Explanation
The bill wants to change the rules so that people who live in the Virgin Islands and own parts of local companies don’t have to follow some U.S. tax rules, which means they’d pay taxes more like they’re from the Virgin Islands instead of the U.S.