–Calls on Congress to Pass Tax Credit for Firms Creating Jobs

By Heather Scott

WASHINGTON (MNI) – President Barack Obama praised Congress Friday
for doing the right thing, and approving an extension of the payroll tax
cut and unemployment benefits until the end of the year, and said he
would sign it immediately.

In a speech prepared for delivery to workers at the Boeing
Production Facility in Everett, Washington, in which he stressed the
need to do more to support firms creating jobs in the United States,
Obama recognized the Congressional vote earlier in the day.

“In America, there’s always something we can do to create new jobs
and new manufacturing and new security for the middle-class,” Obama
said. “Today, we took one important step in the short-term. Just before
we got here, Congress did the right thing, and voted to make sure that
taxes won’t go up on middle-class families at the end of this month.
They also agreed to extend unemployment insurance for millions of
Americans who are out there looking for a job, and I’m going to sign
this bill right away.

“This middle-class tax cut is something I proposed in my jobs bill
back in September, and because you kept up the pressure on Congress,
working Americans will have another $40 in every paycheck this year.
That’s a big deal,” he said. “And I want to thank Congress for listening
to the voices of the American people.”

Just before Congress was set to recess for a week, the Senate
passed the bill Friday on a 60 to 36 vote, sending it to Obama for his
signature. The House approved the package on a 293 to 132 vote.

But, Obama said, “the payroll tax cut is just a start. If we want
to help middle-class families get ahead, we have to confront a set of
economic challenges that existed even before this recession hit.”

As he did in his State of the Union address last month, Obama
called on Congress to pass tax reform that would eliminate tax
deductions for firms that offshore jobs, and provide tax reductions to
those that create jobs in the United States, financing for firms
relocating to economically-disadvantaged area, and credits for high-tech
manufacturing.

“Right now, companies get tax breaks for moving jobs and profits
overseas. Meanwhile, companies that choose to stay in America get hit
with one of the highest tax rates in the world,” Obama said.

“It makes no sense, and everyone knows it. So my message to
Congress is: what are you waiting for? Let’s get this done right now.”

He said “every multinational company should have to pay a basic
minimum tax. And every penny should go towards lowering taxes for
companies that choose to stay and hire in the United States of America.”

“This Congress should send me these tax reforms and I will sign
them right away.”

He also repeated his promise to pursue countries that violate trade
rules and compete unfairly.

“I will go anywhere in the world to open new markets for American
products. And I will not stand by when our competitors don’t play by the
rules. That’s why I directed my administration to create a Trade
Enforcement Unit with one job: investigating unfair trade practices in
countries like China,” Obama said.

** Market News International Washington Bureau: 202-371-2121 **

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