[Congressional Record Volume 143, Number 12 (Tuesday, February 4, 1997)]
[Extensions of Remarks]
[Page E142]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                       INVESTMENT IN AMERICA ACT

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                      HON. JAMES A. TRAFICANT, JR.

                                of ohio

                    in the house of representatives

                       Tuesday, February 4, 1997

  Mr. TRAFICANT. Mr. Speaker, every session since coming to Congress in 
1985, I have introduced a bill to reinstate a 10-percent domestic 
investment tax credit [ITC] for the purchase of domestic durable goods. 
I am reintroducing this bill today, and I invite all Members to become 
cosponsors.
  Mr. Speaker, as you know, the Ways and Means Committee intends to 
overhaul tax policy during the 105th Congress. I believe my 10 percent 
investment tax credit bill should be considered as a part of that new 
tax plan.
  The way this bill works, it couldn't be simpler. If an American 
businessman buys a domestic product like a new machine or computer to 
improve their business, the consumer can take a 10-percent tax credit 
if that product was made in America. If the consumer purchases a new 
American-made automobile or truck, they can take a 10-percent tax 
credit. The tax credit would be worth up to $1,000.
  Investment tax credits are not new, but mine incorporates buy-
American language to assist economic enhancement. I believe that 
repealing the investment tax credit in 1986 was one of the major 
reasons for the downfall in investment. As a result, American companies 
are competing with one hand tied behind their backs. Under my bill, at 
least 60 percent of the basis of the product must be attributable to 
value within the United States to take advantage of the credit. In 
other words, language the Commerce Department already uses to define an 
American-made product.
  The purpose of the investment in America tax credit is to stimulate 
the economy by spurring consumers and businesses to purchase American-
made goods to enhance our long-term competitiveness. I don't know of a 
simpler way to change our complex tax policy for the better. I have 
always argued that the social problems this country faces can be linked 
to the unfair and harmful trade and tax policies enacted by the 
Congress. The 105th Congress offers us a unique opportunity to make a 
difference in the direction this country is headed.
  Mr. Speaker, I urge all Members to cosponsor my bill. As a Congress, 
we need to show the American people that we are sincere about making 
America a strong nation once again.

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