# PAUL TELLER: Foreign investors are milking US taxpayers. Congress should stop them

- URL: https://talkfuse.com/story/paul-teller-foreign-investors-are-milking-us-taxpayers-congress-should-stop-them/
- Published: 2026-11-09T10:00:48+00:00
- Updated: 2026-11-09T10:26:28+00:00
- Original publisher: Fox News (publisher lean: Right)
- Original article: https://www.foxnews.com/opinion/paul-teller-foreign-investors-milking-us-taxpayers-congress-should-stop-them
- Topics: Americas, Government, Politics, World

## Key points

- The author says overseas funds finance US lawsuits.
- Their share of awards may face lower or no US tax.
- The article urges Congress to close the alleged loophole.

## Summary

The opinion article argues that foreign investment funds are financing US lawsuits and may receive a more favourable tax treatment on their share of any award than the American plaintiffs do. It calls on Congress to close this alleged loophole, saying the arrangement could reduce US tax revenue while adding to costs for businesses and consumers.

The article describes litigation funding in which an overseas fund pays some of a lawsuit’s costs in return for a pre-agreed share of a successful claim. It says plaintiffs’ awards are generally taxed as ordinary income, while funders’ proceeds may be treated as capital gains, which foreign investors can often receive without US tax. Citing Treasury Secretary Scott Bessent’s criticism of the practice, the author urges Congress to act this year and use any additional revenue for tax relief; the article provides no estimate of the revenue at stake.

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Summarised by TalkFuse (https://talkfuse.com/). Quote the original publisher for the reporting and link this page for the summary and discussion.