A new tax plan in the Senate would provide a much needed boost to silver mining in the US.
The House bill, which the House passed on Friday, would reduce the US government’s 10% tax rate to 15% and would eliminate a deduction for mining expenses.
Under the House bill the deduction would be eliminated, meaning it would not apply to mining expenses paid directly by customers, such as payroll.
Under Trump’s plan, customers who pay for their mining expenses through payroll deductions would be able to claim a $10,000 deduction.
Under a Senate version of the bill, the deduction for employee compensation would be $20,000, while employees would not be able get the deduction if they paid for their expenses through their employer.
Trump’s plan would eliminate the deduction, and a Senate plan that does not provide a 10% deduction would allow for a deduction of $2,000 for an employee who pays their own salary.
In a statement, Senate Majority Leader Mitch McConnell said the Senate bill would “help small businesses and small businesses, middle-class families and small business owners pay their taxes” and “help America’s farmers, ranchers and manufacturers keep their jobs.”