Republicans stall Obama legislation to curb outsourcing of jobs
20 Jul 2012
Republican senators have stalled a legislation introduced by the Obama government to deny tax incentives to American companies that outsources jobs overseas.
The bill to enact `Bring Jobs Home Act', introduced by Democrat senator Debbie Stabenow and backed by President Barack Obama, proposed to end tax incentives to US companies that outsource jobs overseas.
Alternatively, the bill provided for a 20-per cent tax break to those firms that move jobs back home, in order to ease the burden of higher expenses associated with the cost of moving operations overseas.
The bill had provision for meeting 20 per cent of the eligible expenses paid or incurred by the taxpayer (the outsourcer) in connection with the elimination of any business unit of the taxpayer (or of any member of any expanded affiliated group in which the taxpayer is also a member) located outside or within the United States.
With 42 legislators voting against, the bill fell four short of the 60 votes needed to bring it to a House debate.
Democrats are now trying to get political mileage over it saying that the Republicans are least bothered about creating jobs at home. The White House accused Republicans of "playing politics and coming in the way of jobs creation in the United States."
