Senators To Debate International Tax Bill Next Week

by Mike Godfrey, Tax-News.com, Washington

29 April 2004

Work on the international tax bill designed to put an end to European Union trade tariffs may recommence next week, senior Republicans in the Senate indicated on Tuesday.

According to comments made to reporters by Senate Finance Committee Chairman Charles Grassley, Senate Majority Leader Bill Frist is looking to resume consideration of the ‘JOBS’ (Jumpstart Our Business Strength) bill as early as Monday.

The bill, the main thrust of which is to give a range of US firms a 3% corporate tax cut in place of the current system of subsidies ruled illegitimate by the WTO, has become increasingly weighed down by a growing number of special interest amendments, much to the frustration of Grassley and Frist, who have accused Democrats of playing election year politics with the proposals to embarrass the President.

“In effect, this bill, and the American manufacturing sector are being held hostage - held hostage to Democratic demands to load this bipartisan legislation with a bunch of unrelated amendments,” remarked Grassley on the Senate floor recently.

An agreement reached prior to the Easter recess restricted the number of amendments offered by Republicans and Democrats members to fifty and thirty respectively.

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