House's Camp backs tax cuts, corporate breaks

WASHINGTON Wed Oct 26, 2011 2:19pm EDT

Congressional Super Committee member Rep. Dave Camp (R-MI) makes an opening statement as the panel holds its inaugural meeting to search for at least $1.2 trillion in new deficit reductions, in Washington, DC, September 8, 2011.         REUTERS/Mike Theiler

Congressional Super Committee member Rep. Dave Camp (R-MI) makes an opening statement as the panel holds its inaugural meeting to search for at least $1.2 trillion in new deficit reductions, in Washington, DC, September 8, 2011.

Credit: Reuters/Mike Theiler

WASHINGTON (Reuters) - The top tax rates for individuals and corporations would be slashed to 25 percent from 35 percent under tax reform proposals unveiled on Wednesday by a senior Republican tax writer.

Republican Representative Dave Camp, chairman of the tax-writing House Ways and Means Committee, also called for a "territorial system" that would exempt 95 percent of offshore corporations' profits from the U.S. corporate income tax.

A summary of Camp's proposals, released on his committee's website, said his plan "would lower top tax rates for both individuals and employers to 25 percent" and "transition the United States ... to a territorial system."

It also called for a "transition rule" that would apply a 5.25 percent tax rate on corporate profits presently being held offshore "whether or not such earnings are repatriated."

Camp's proposals come as the pace of negotiations within Congress' "super committee" on deficit reduction accelerates toward a November 23 deadline. By that date, the panel must find at least $1.2 trillion in budget savings over 10 years.

Camp is a member of the panel, but he made his tax reform proposals on his own, in his role as Ways And Means chairman.

"If we are serious about creating a climate for job creation, now is the time to adopt tax policies that empower American companies to become more competitive," he said in a statement accompanying the summary of his plan.

(Reporting by Kevin Drawbaugh, Patrick Temple-West and Richard Cowan, editing by Gerald E. McCormick)

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Comments (7)
“If we are serious about creating a climate for job creation…” You have to be kidding me. This will only ship more jobs and money right out of the U.S. How can anyone think this is a good idea?

Oct 26, 2011 3:29pm EDT  --  Report as abuse
texoman wrote:
What a remarkable revelation! Another republican proposes tax breaks for corporations and the rich. The only thing that I will enjoy about the upcoming Civil Revolution is watching these slimmy pukes like Mr. Camp run for cover when they are finally dealt with for being a traitor to the working people of the USA.

Oct 26, 2011 3:36pm EDT  --  Report as abuse
xyz2055 wrote:
Cutting taxes for corporations helps the deficit how? Could we please have the names of the Corporations that have committed to creating jobs if we give them a 10% tax break? Or are the Republicans just floating this idea? You have another Republican saying that we need a tax overhaul to entice CEO’s to spend. Corporations are sitting on record amounts of cash. Apple has $76B it’s trying to figure out what to do with. How much cash do they need before they spend it? Here is the simple truth. 70% of the U.S. economy is driven by consumer spending. If you want to give tax breaks that will encourage spending and create jobs..give it to the middle class. No one creates a job because someone gave them a tax break. Corporations, companies and small businesses create jobs when demand for their goods and services increases and they need the additional labor. Is being dense about job creation a prerequisite for being a Republican? mimes and clowns!

Oct 26, 2011 4:11pm EDT  --  Report as abuse
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