[Congressional Record Volume 141, Number 65 (Friday, April 7, 1995)]
[Senate]
[Pages S5538-S5539]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                          DO NOT VETO H.R. 831

  Mr. DOLE. Mr. President, I would like to address a certain letter 
that is being passed around in the House to be sent to the President. I 
understand that the President may have already received it. The letter 
urges the President to veto H.R. 831, Permanent Deduction of Health 
Care Insurance Costs of Self-Employed Individuals. The letter has over 
139 House Democrats' signatures.
  The conference report to H.R. 831 passed the House last week, and we 
passed it in the Senate on Monday. The President received the bill on 
Tuesday, April 4, and it lies there waiting for the President to sign 
it into public law.
  It is critical to 3.2 million tax filers that this bill be enacted 
prior to April 17--tax day. If it is not, then 11 days from now, less 
than 2 weeks, 3.2 million filers will find that they cannot use a 
deduction that they have had since 1986. Mr. President, 3.2 million 
filers will find that they will have to pay more taxes than they did 
last year. And Mr. President, these 3.2 million filers are farmers, and 
small business owners all across America.


                               the letter

  Now, this letter alludes that Republicans somehow carved out a 
special 
 [[Page S5539]] exception for one pending deal. I want to set the 
record straight.
  The conference report simply clarifies the definition of a binding 
contract, and let me add that this clarification was raised by a 
Democrat Member, not a Republican.
  Second, the letter insinuates that during conference, Republicans 
took out a provision imposing a tax on U.S. citizens who renounce 
citizenship.
  Mr. President, we have already been through this. We explained 
earlier this week, that in the Senate we agreed to impose taxation on 
U.S. citizens who renounce citizenship. But, this measure was adopted 
without the benefit of hearings. Subsequently, the Finance Committee's 
oversight subcommittee held a preliminary hearing. This proposal raises 
important questions, and the hearings exposed some serious concerns. We 
simply decided to not delay action on H.R. 831 while we continued to 
consider alternatives to this expatriate provision. That is right, let 
me set the record straight once again--we are not opposing this in any 
way. Just the opposite, we want to get this done.
  The conferees asked the Joint Committee on Taxation to study this 
provision and other alternatives and get back to us by June 1, 1995. It 
is also clear that this provision will be effective as of February 6.
  But while concerns remained with the provision, we did not include it 
in H.R. 831.
  Also, Mr. President, during floor debate in the House on the tax 
bill, one of the signatories of the letter, Congressman Gephardt, tried 
to put a similar expatriate tax provision in the tax bill--with an 
effective date of October 1, 1996, much later than the Finance 
Committee provision.
  The letter to the President claims that House Democrat Members want 
to close an important tax loophole for millionaires, but it seems like 
they want to close it very slowly.


                               conclusion

  It is my sincere hope that the President gets the record straight. 
Because if he does not, and he decides to play politics as usual, then 
3.2 million farmers, ranchers, small businesses, and taxpayers will 
suffer for it.
  It has been 3 days since the President received H.R. 831, and I urge 
the President to sign it into law. There is no reason to delay any 
longer. It should be signed as soon as possible so that taxpayers can 
finish preparing their tax returns in time.


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