The Romney Plan for Jobs…in Other Countries
We already know that Mitt Romney shipped American jobs overseas to countries like India, China, and Mexico while stashing millions of dollars in overseas tax havens like Bermuda, the Cayman Islands, and Switzerland. Now he wants American companies to follow his lead.
Let’s take a closer look at Romney’s plan to encourage outsourcing and tax dodging.
WHAT IT DOES:
- Protects tax breaks for companies that ship American jobs overseas
- Permanently eliminates U.S. tax on the “foreign” profits of U.S. corporations, many of which are only “foreign” because of accounting gimmicks and other tricks
WHY THAT’S BAD FOR AMERICA — ESPECIALLY AMERICAN WORKERS:
Romney’s proposed exemption for foreign profits would exacerbate the worst features of our current tax system. It would:
- Enhance the tax code’s rewards for moving jobs and investments overseas
- Provide a gratuitous windfall to some of the very companies that have already shifted jobs and profits overseas
- Further invite the offshore tax haven abuse that deprives the U.S. Treasury of tens of billions of dollars in revenue every year
WHAT’S THE IMPACT:
By further incentivizing the offshoring of American jobs and abuse of foreign tax havens, the Romney plan would:
- Create 800,000 jobs — in other countries, including 73,000 in China, 37,000 in France, and 26,000 in India
- Give corporations a $130 BILLION handout at the expense of American taxpayers
WHAT WE COULD DO INSTEAD:
President Obama has a very different plan. He would:
- End tax breaks for companies that ship American jobs overseas
- Provide incentives for companies to bring jobs back to America
- Implement a global minimum tax for corporations to make sure they don’t game the system to avoid pay their fair share
For more details on Romney’s plan to encourage companies to ship American jobs overseas and abuse foreign tax shelters, check out a new report released today by the Center for American Progress Action Fund.
IN ONE SENTENCE: Instead of encouraging companies to bring jobs back to America, Mitt Romney wants American workers to pay to ship their own jobs overseas.
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