New Merkley Ad: Cut Middle Class Taxes, End Tax Breaks for Companies Shipping Jobs Overseas

Smith Says No New Middle Class Tax Cuts

Under George Bush and Gordon Smith, Washington has been doling out tax breaks to companies that ship jobs overseas. In his newest campaign television ad, Jeff Merkley says it is time to end these tax giveaways and cut taxes for middle class families who are feeling squeezed by the Bush-Smith economy.

“Not only has Washington failed to create jobs and get our economy growing again, they’ve actually made the problem worse,” said House Speaker Jeff Merkley. “Our government should not be giving tax breaks to companies that ship American jobs overseas. We need to end the same, old failed economic policies and start creating jobs and cutting taxes for American families.”

While Merkley has unveiled a detailed plan to cut taxes on the middle class, Gordon Smith opposes additional middle class tax relief. Instead, Smith wants to maintain the same George Bush tax policy that rewards companies outsourcing American jobs and forces middle class Americans to shoulder more of the tax burden. Since 2001, the Bush-Smith tax policies have increased the tax burden on the middle class by nearly 5 percent, according to a Congressional Budget Office analysis. [Bend Bulletin, 8/31/08; Washington Post, 8/13/04]

As the son of a millworker and the first in his family to go to college, Jeff Merkley understands how families struggle in hard economic times. That’s why he will fight to create good-paying jobs and cut taxes for middle class families by ending the giveaways to companies that are outsourcing American jobs and the ultra-rich making more than a million dollars per year. Merkley’s plans will cut taxes for 95% of workers and families and make college, child care, long term care, and home ownership more affordable.

Right now the tax code actually rewards companies that invest overseas by exempting overseas profits from taxation. Ending these tax breaks would save American tax payers an estimated $15.9 billion. [OMB, 2008]

Smith voted against amendment that would repeal tax incentives for domestic companies that move their manufacturing plants to offshore locations; it would have used the resulting revenue to reduce the federal deficit by $3.2 billion from 2006 to 2010. [Senate vote #63, 3/17/05]

Smith also opposed an amendment that would have provided tax credits for companies that create manufacturing jobs in America and prohibit the use of tax dollars to outsource government contracts that aren’t defense or homeland security-related. [Senate vote #41, 3/11/04; CQ]

Script: Tax and Trade

Jeff Merkley:

I’m Jeff Merkley. And I approve this message because you deserve a Senator who puts Oregon families and jobs first.

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Posted September 8, 2008
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