[Congressional Record Volume 142, Number 104 (Tuesday, July 16, 1996)]
[Senate]
[Page S7910]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                         POSSESSIONS TAX CREDIT

 Mr. BREAUX. Mr. President, last week on Tuesday, July 9, the 
Senate passed H.R. 3448, the Small Business Job Protection Act of 1996. 
I rise today to speak about the provision in that bill relating to 
Section 936 of the Internal Revenue Code, the Possessions Tax Credit. 
The Senate passed version of this legislation creates a long-term wage 
credit for the 150,000 employees currently working in Puerto Rico 
through section 936 of the code. Without question, this provision 
represents a major step forward for those working Americans in our 
poorest jurisdiction. Unfortunately, Mr. President, the House passed 
bill contains no such long-term incentives for the economy of Puerto 
Rico. I want to urge the Conferees, under the leadership of the 
distinguished Chairman of the Senate Finance Committee, Senator Roth, 
and the distinguished ranking member, Senator Moynihan, to preserve the 
Senate position on section 936. Also, at the earliest opportunity we 
should address the important issues of economic growth, new jobs, and 
new investments in Puerto Rico including the proposals offered by the 
Governor of Puerto Rico, Pedro Rossello, to replace the possessions tax 
credit.

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