It is tough to see this bill as either a small business bill or a jobs bill. Specifically, I have three main concerns:
- It raises taxes on employers during a recession – making it tougher for Americans to find needed work.
- Roughly 80 percent of the so-called tax relief in the bill is dedicated to state and local governments. Small governments are not small businesses, and they do not create the kind of private-sector jobs we need.
- And, three: the limited and narrow tax provisions, even if well-intentioned, will not do enough to help employers create new jobs.
Under this bill, jobs – American jobs – will be taxed. That is the simple truth regarding the provision limiting treaty benefits for certain deductible payments. This is very similar to a provision offered previously by the gentleman from Texas, Mr. Doggett, and accounts for about 40 percent of the $19.4 billion in tax increases in this bill.
There is never a good time to raise taxes on employers and American workers, but given the continued weakness in the economy, now may be the worst time. Data from the Department of Labor confirms that:
- 48 states have lost jobs since the Democrats’ stimulus passed;
- 3.3 million jobs have been eliminated; and
- A record 16 million Americans are out of work
In case you needed more evidence that Democrats’ stimulus failed, just look at the $2.5 billion in “emergency” welfare spending that was added to this bill. This money will be paid out in the third fiscal year since stimulus money first starting flowing.
This bill increases spending, increases taxes and will not create private sector jobs. In that respect, it is the “Mini Me” of the Democrats’ stimulus bill.
I urge my colleagues vote NO, and reserve the balance of my time.