My Way Home: The Bring Jobs Home Act

Democrats on the House Ways and Means Committee have introduced a bill to provide tax credits to businesses that brings jobs and business operations back to the U.S. from abroad.

The Bring Jobs Home Act, introduced on July 20th by Rep. Bill Pascrell, D-N.J., provides a 20 percent tax credit for businesses that “insource” jobs back to the United States and is paid for by closing tax loopholes for companies that “outsource” jobs overseas and treat distributions of debt securities in a tax-free spin-off transaction in the same manner as distributions of cash or other property.

 

The bill would create a new tax credit to provide an incentive for U.S. companies to move jobs from overseas back to America. Specifically, the legislation would allow companies to qualify for a tax credit equal to 20 percent of the cost associated with bringing jobs and business activity back to the U.S.

To pay for the cost of the bill, the Bring Jobs Home Act would end a tax deduction for companies that outsource jobs and business activity. The cost of moving personnel and components of a company to a new location is defined as a business expense that qualifies for a tax deduction, and the bill would tigtehn these requirements.

My opinion is that this bill will be D.O.A. (Dead On Arrival)!