What's the Deal On That Little Tax Break to Offshore Outsource your Job?

[FreakinDJ]

What's the Deal On That Little Tax Break to Offshore Outsource your Job?

So, what's the deal with that tax break Obama's tax code changes? What exactly is the plan and will it really have much effect? pig Well, one rule of thumb is if the U.S. Chamber of Commerce, the India Business Association and multinational corporations are squealing like a pig, you know it's good policy that will have some effect! According to the New York Times

Some big American companies have large numbers of employees in India, in part because of these low labor costs. For example, General Electric has about 14,500 employees in India, I.B.M. more than 74,000, and Citigroup more than 10,000. In addition, India’s information technology and outsourcing companies employ about 2.2 million people, and American companies account for about 60 percent of their business.

Indeed, the entire business model of India taking your job is clearly under threat. According to the India Times this could increase offshore outsourcing costs up to 50%. That's Great News! It's about time that someone tell India stealing American jobs is not a good long term business model! So, what's really in the corporate tax code changes? In the U.S. Treasury's press release:


There is no higher economic priority for President Obama than creating new, well-paying jobs in the United States. Yet today, our tax code actually provides a competitive advantage to companies that invest and create jobs overseas compared to those that invest and create those same jobs in the U.S. In addition, our tax system is rife with opportunities to evade and avoid taxes through offshore tax havens:

http://www.economicpopulist.org/content/whats-deal-little-tax-break-offshore-outsource-your-job

If the DEMs can't close this Loop Hole, then I say they can ALL go to Hell

[pinto]

1. Repubs filibustered bill on 9/28. Cloture motion failed 53 - 45 (60 needed)

S.3816
Title: Creating American Jobs and Ending Offshoring Act

Sponsor: Sen Durbin, Richard (introduced 9/21/2010) Cosponsors (8)
Latest Major Action: 9/28/2010 Senate floor actions. Status: Cloture on the motion to proceed to the bill not invoked in Senate by Yea-Nay Vote. 53 - 45.
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All Republicans voted against Cloture, along with 4 Democrats (Baucus, Nelson - NE, Tester, Warner) and Lieberman (I).

http://thomas.loc.gov/cgi-bin/bdquery/z?d111:SN03816:@@@X