|House Meets At:||First Vote Predicted:||Last Vote Predicted:|
9:00 a.m.: Legislative Business
|10:00 - 10:30 a.m.||12:30 – 1:30 p.m.|
H.Res. 620 – Rule providing for consideration of H.R 9 – “All Business Tax Act” (One Hour of debate) The Rules Committee has recommended a structured Rule that provides for 70 minutes of general debate equally divided among the Chair and Ranking Member of the Committee on Ways and Means. The Rule allows one amendment, debatable for 25 minutes equally divided between the offeror and an opponent. It also provides one motion to recommit, with or without instructions. Lastly, it waives all points of order against the legislation.
The Rules committee rejected a motion by Mr. McGovern that would make in order an amendment by Rep. McDermott that would extend for one year 100% bonus depreciation for capital expenditures. It would offset the cost by eliminating subsidies for the “big five” oil and gas companies. Members are urged to VOTE NO.
H.R. 9 - “All Business Tax Act” (Rep. Cantor – Ways and Means) (70 Minutes of debate) The bill allows businesses with less than 500 employees to deduct 20% of their domestic business income. The deduction could be taken by businesses for the current tax year, regardless of how they are organized, and is estimated to cost $46 billion without any offsets, according to the Joint Committee on Taxation (JCT). Since “small” is only defined by the number of employees (500), many businesses, are in line to obtain a disproportionately large benefit.
The measure does not focus on job creation, as it does not include any requirements that businesses create jobs or invest here in the U.S. It is a short-term measure that further complicates efforts to reform our tax code while promoting uncertainty for American businesses. Though it would only be in place this year, JCT scores the bill as adding $46 billion to the deficit, while simultaneously saying that the bill’s impact on economic growth and jobs is “so small as to be incalculable.”
This bill is another in a long line of Republican tax cut proposals that increase the deficit and benefit the wealthiest Americans at the expense of economic certainty for businesses and the middle class. House Democrats agree that cutting taxes for the middle class and small businesses is a national priority. However, this bill is not a responsible way to do it. Members are urged to VOTE NO.
The Rule makes in order the following amendment, debatable for 25 minutes, equally divided between the offeror and an opponent:
Rep. Levin Amendment. Would replace the deduction in the underlying bill with a deduction for small businesses for the amounts they spend on Capital investments in 2012.
|The Daily Quote|
“The Republican tax plan will do nothing whatsoever to increase employment. It is nothing more than an election year give-away to a favored Republican constituency and should not be taken seriously.”
- Former Reagan Economic Advisor Bruce Bartlett, The Fiscal Times, 3/30/12