Senate Democrats

Reid Remarks On Tax Reform And Job Creation

“Republicans have favored corporate tax reform for decades. But now that President Obama is proposing it, Republicans are opposing it.”

“The President’s thoughtful approach would couple lower corporate tax rates with investments in job-creating measures such as road and bridge construction, worker training programs and manufacturing incentives. But it will take a balanced approach that includes smart spending cuts, closes wasteful loopholes and asks the corporations who will benefit from the lower rate to contribute their fair share.”

Washington, D.C.Nevada Senator Harry Reid spoke on the Senate floor today regarding President Obama’s proposal to reform the corporate tax code and invest in job-creating infrastructure construction. Below are his remarks as prepared for delivery:

When President Obama proposed a plan on Tuesday to simplify our corporate tax code and lower rates for businesses I expected Republicans to jump for joy. After all, it was just a few months ago that Leader McConnell signaled he would be open to a plan to reform the tax code. This is what he said: “I’m told President Obama’s going to come out for lowering the corporate tax rate. To the extent he actually wants to do some of these things, our answer is going to be yes.” But it’s amazing how quickly Senator McConnell’s answer went from “yes” to “heck no.”

Republicans have favored corporate tax reform for decades. But now that President Obama is proposing it, Republicans are opposing it.

The President’s thoughtful approach would couple lower corporate tax rates with investments in job-creating measures such as road and bridge construction, worker training programs and manufacturing incentives. But it will take a balanced approach that includes smart spending cuts, closes wasteful loopholes and asks the corporations who will benefit from the lower rate to contribute their fair share.

Even Speaker Boehner has supported this approach in the past. This is what he said two years ago: “If we want to put Americans back to work, I think lowering the corporate tax rate is critically important. And to do that, I think we have to look at the tax-expenditure side – the deductions, credits, and other gimmicks that may be in the tax code that have accumulated over the last 30 years.” I don’t say this very often, but Speaker Boehner was right.

This is the kind of balanced approach to deficit reduction that the American people favor: a simpler tax code that lowers rates and makes our businesses more competitive, but also raises new revenue to invest in job creation.

As President Obama said, if we’re going to give businesses a better deal, we need to give workers a better deal, too. We can use the money we save by simplifying the tax code to create jobs right away – jobs that can never be outsourced. Both Republicans and Democrats get something they want, and the economy gets the shot in the arm it needs.

We’ve already cut the deficit in half over the last three years. Democrats know there is more work to be done. But we won’t agree to any plan that balances the budget by killing jobs and whacking the middle class while holding the richest individuals and corporations harmless.

And Democrats believe we must offset the harsh spending cuts of the last few years with job creation that puts the middle class back on track. To get the economy back to full steam, we should be making targeted investments in things like infrastructure and education – things that have always helped American grow and succeed.

 

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