Fighting to Bring Jobs Home
Senator Stabenow takes to the Senate floor to speak in support of her bill to Bring Jobs Home from overseas. Her Bring Jobs Home Act will end a tax giveaway that rewards companies that ship jobs overseas, and also provide a tax cut for U.S. companies that move jobs and business activity back to America from another country.
Senator Stabenow's Bring Jobs Home Act:
Ends a tax break for U.S. companies that outsource jobs and business activity. Right now, the cost of moving personnel and company operations to a new location is defined as a business expense that qualifies for a tax deduction. Senator Stabenow's legislation would no longer allow this deduction for companies that move jobs and business activity outside of the U.S.
Creates a new tax cut to encourage U.S. companies to bring jobs home. Specifically, the bill will allow U.S. companies to qualify for a tax credit equal to 20% of the cost associated with bringing jobs and business activity back to the United States. The company will be able to apply the 20% tax credit against its corporate income tax. Companies bringing jobs home would then still qualify for the deduction currently available for the costs associated with moving personnel and business activity, as well as the new 20% tax credit (i.e., the 20% tax credit is in addition to the current deduction, not instead of).
Senator Stabenow has long championed efforts to ensure U.S. businesses and workers can become more globally competitive and create more jobs in America. Last year, Senator Stabenow introduced her American Competitiveness Plan to crack down on other countries' trade violations. One of the main provisions of Stabenow's Plan, which called for a trade enforcement unit to hold countries that violate trade laws accountable, was created by President Obama earlier this year. Other provisions of Stabenow's plan include a bill to crackdown on China's currency manipulation (which passed the Senate last year with overwhelming bipartisan support) and provisions to strengthen penalties for foreign companies who steal American technology and intellectual property.