[Congressional Record Volume 164, Number 20 (Tuesday, January 30, 2018)]
[Senate]
[Page S567]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
Tax Reform
Mr. THUNE. Mr. President, the good news about tax reform continues to
roll in--wage increases, better benefits, increased investment, and
employee bonuses. So far, more than 250 companies have announced good
news for their employees--pay hikes, increased retirement
contributions, or bonuses, and the list continues to grow.
Last week, JPMorgan Chase, Disney, Starbucks, and FedEx all announced
increased investment in American workers. JPMorgan Chase announced that
it will raise wages for 22,000 workers, add thousands of new jobs, and
open 400 new branches in the United States. It also plans to increase
its lending to small businesses. Disney will invest in employees'
education and provide employee bonuses. Starbucks is raising wages,
increasing benefits, and rewarding employees with company stock. FedEx
announced plans to expedite raises and invest $1.5 billion to expand
its FedEx Express hub in Indianapolis. It is also making a $1.5 billion
contribution to its pension plan. To top it off, yesterday ExxonMobil
announced that, thanks in part to tax reform, it will invest an
additional $35 billion into the U.S. economy over the next 5 years.
That means a lot of new jobs and opportunities for American workers.
Stories like this are why we made business tax reform a key part of
the Tax Cuts and Jobs Act. Obviously, a huge priority was immediately
lowering Americans' tax bills, which is why we lowered rates across the
board, nearly doubled the standard deduction, and doubled the child tax
credit. But our other priority was creating the kind of economy in
which Americans can thrive for the long-term--an economy that would
create good jobs, higher wages, and more opportunities.
So how do we go about doing that? Well, the only way for individual
Americans to thrive is for American businesses and the American economy
to thrive. So we took action to improve the situation for American
businesses.
Prior to the Tax Cuts and Jobs Act, American businesses, large and
small, were weighed down by high tax rates and growth-killing tax
provisions. Plus, our outdated international tax rules left America's
global businesses at a competitive disadvantage in the global economy.
The Tax Cuts and Jobs Act changed all that. We lowered tax rates
across the board for owners of small and medium-sized businesses,
farms, and ranches. We expanded the business owners' ability to recover
investments they make in their businesses, which will free up cash that
they can reinvest in their operations and their workers.
We lowered our Nation's massive corporate tax rate, which up until
January 1 was the highest corporate tax rate in the developed world. We
brought the U.S. international tax system into the 21st century by
replacing our outdated worldwide system with a modernized territorial
tax system so that American businesses are not operating at a
disadvantage next to their foreign counterparts. Now, just a month into
the new tax law, we are already seeing the results.
Thanks to the new tax law, businesses are seeing a future of growth,
and based on those forecasts, they are making plans to invest in their
workers, raise wages, create new jobs, and invest in the American
economy: AT&T, Boeing, Fiat Chrysler, Bank of America, Home Depot,
Great Western Bank in my State of South Dakota, First Hawaiian Bank,
SunTrust Bank, Comcast, American Airlines, Southwest Airlines, Humana,
Visa, Nationwide Insurance, JetBlue Airlines. The list of companies
announcing good news for American workers thanks to tax reform goes on
and on and on.
Tech giant Apple announced that as a result of tax reform, it will
bring home almost $250 billion in cash that it has been keeping
overseas and invest it here in the United States. That is good news for
the American economy, and it is a direct result of the Tax Cuts and
Jobs Act.
Before the Tax Cuts and Jobs Act, our Tax Code encouraged American
businesses to keep cash overseas. The Tax Cuts and Jobs Act ended that.
Now that we have altered the Tax Code to remove the penalty for
bringing profits home to the United States, we can expect to see more
companies bringing profits home and investing in the U.S. economy the
way that Apple is doing.
We have seen a tremendous amount of good news this month, but it
really is only the beginning. As the benefits of tax reform continue to
sink in, we expect to see more growth, more jobs, and more
opportunities for American workers, and we expect to see the kind of
economy that will provide security and prosperity for Americans for the
long term.
I yield the floor.
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