Kerry Would Repeal ‘Unwarranted International Tax Breaks’

by Mike Godfrey, Tax-News.com, Washington

27 October 2004

Democratic presidential nominee John Kerry has pledged to repeal certain aspects of the new corporate tax bill signed by President Bush at the weekend at the first opportunity, if elected to the White House.

In particular, the Kerry campaign has taken umbrage at “unwarranted” international tax breaks contained in the recently approved American Jobs Creation Act, which was drafted originally to repeal illegitimate trade subsidies and provide relief from European Union trade sanctions.

"George Bush filled the bill with corporate giveaways and tax breaks for multinational companies that send jobs overseas,” commented Kerry spokesman Phil Singer.

“In his first budget, John Kerry will call for the repeal of all the unwarranted international tax breaks that George Bush included in this bill," he declared.

At the heart of the new legislation is a phased reduction in corporate tax for a variety of US production interests.

However, the legislation also includes a temporary tax break for repatriated income, reforms of the subpart F and foreign tax credit rules, and a number of other tax cuts targeted at both businesses and individuals.

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