Wyden Statement on the President’s Proposal to Reform the Corporate Tax Code
Washington, D.C. – U.S. Senator Ron Wyden (D-Ore.) issued the following statement in response to the Obama Administration’s proposal to reform the corporate tax code:
“I applaud the President for recognizing the need for tax reform but corporate reform alone is simply not enough. Right now, more than 80 percent of all U.S. businesses are filing their taxes through the individual tax code, not the corporate tax code. Those businesses would see little benefit from this proposal. If we want to create a pro-growth tax code and incentivize job creation and investment in U.S. businesses as Secretary Geithner said in a recent hearing, we need to take the type of comprehensive approach that has been proven to work in the past.
The corporate tax rate in the Administration’s proposal is a good start as is recognizing that the treatment of overseas assets must be addressed. A comprehensive approach that completely eliminates the breaks for sending jobs overseas and more fully limits the ability of companies to game the system will allow even lower corporate rates than the Administration proposal. These lower rates will benefit American manufacturers and other domestic job creators while ensuring that all corporations pay their fair share. Reforming the tax code is a must. Taking a piecemeal approach instead of a comprehensive reform of both codes at the same time will dampen the economic effect that comprehensive tax reform has been shown to produce.”