[Congressional Record Volume 163, Number 177 (Wednesday, November 1, 2017)]
[House]
[Pages H8304-H8305]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
AMERICANS BEWARE OF TAX BILL
The SPEAKER pro tempore. The Chair recognizes the gentleman from
Maryland (Mr. Raskin) for 5 minutes.
Mr. RASKIN. Mr. Speaker, I rise to talk about a job-killer tax bill
that is coming to Congress this week, and if you don't watch out, it
could be coming to your hometown soon.
Up until yesterday, Mr. Speaker, I thought the new GOP tax plan was
just run-of-the-mill, upside-down class warfare waged by the wealthiest
people in the country against everybody else. I knew 80 percent of the
windfall of the tax cut would go to people making $912,000 a year or
more--the richest 1 percent of the country. I knew it would repeal the
alternative minimum tax, the only reason that Donald Trump paid any
taxes at all in the 1 year we know he paid taxes over the last few
decades in 2005. I knew it would repeal the State and local income tax
deduction, which would be terrible news for tens of millions of middle
class people in States across the country, including mine in Maryland.
I knew it would repeal the estate tax which only affects the
wealthiest one-half of 1 percent of the country. All of these
provisions would help to create a
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hereditary oligarchical elite like the hereditary oligarchical elite in
Russia today.
This huge penthouse suite party will be paid for by the rest of us
and blow a record-smashing $2 trillion deficit hole into our economy
and programs like Medicare and Medicaid. I knew all of this. It is
predictable enough.
But then I noticed a provision yesterday that is absolutely
gobstopping, shocking, startling, eye-popping, unbelievable in the GOP
tax blueprint. It is called the territorial system, and what it means
is simple. We will tax American businesses only when their operations
are here in America. Here is what that means: if I am a businessman and
I am going to set up a manufacturing plant on main street in my
hometown, I have to pay the full freight of taxes. I pay everything.
If I set my business, my new manufacturing plant, up in Mexico, or
Bangladesh, or Ireland, I pay zero taxes. Let me repeat that: if I
decide to set up my business in America, I pay 100 percent of the taxes
I am going to owe. If I decide to relocate my business and all of the
jobs abroad, I will pay zero taxes. That works even if I have already
got the business in place here and I decide to ship everything
overseas. Suddenly, I get a 100 percent tax break for all the profits
that I earn overseas.
Mr. Speaker, perhaps I misunderstand it. I am not a professor of tax
law. I am a professor of constitutional law. So maybe I am not
interpreting it right. I would love nothing more than for one of my
colleagues from the other side of the aisle to get up and tell me it is
not true, and correct me, and explain what I have got wrong.
But if I have got it right, this shocking provision tucked into the
bill that we are about to see is a job killer, a national emergency,
and a dagger pointed at the heart of the American economy and our jobs.
It is only a few, small, big businesses, a few big businesses that will
benefit.
Small businesses are not going to be benefited at all. The small
businesses do not set up tax-dodging corporate subsidiaries in the
Cayman Islands, or the Bahamas, or in Ireland. They don't ship
overseas. So this is for a tiny percentage of the largest corporations
in America, leaving the small businesses behind and taking millions of
American jobs with them.
Why would the majority do this to us when Donald Trump campaigned on
a platform of putting America first and promising to bring American
jobs back home--not export millions more with a devastating tax plan?
Now I see why they are hurdling this through Congress. In 1986, with
the tax reform plan, there were 63 days of hearings, and more than 450
witnesses in Ways and Means and the Senate Finance Committee. It took 2
years and 10 months. This plan they want to slam through Congress in
less than 2 weeks, with barely any witnesses, maybe no hearings, maybe
one or two hearings; and you know why? Because they are tucking the
most massive job-killing provision anyone has ever seen into this bill.
If anything, we should be imposing higher taxes on those businesses
that ship our jobs overseas--not lower taxes--or they should pay the
same. But this plan would wipe out any taxes at all, and it is
dumbfounding that they would think this is something that Congress
would put up with--just like they tried to slam through Congress the
ACA repeal and we stopped it when people got the word.
We have got to make sure, Mr. Speaker, that every American
understands what is really in this tax bill coming our way.
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