Once again Tom promotes a tax break for business. Tom’s bill is H.R. 2754, “To amend the Internal Revenue Code of 1986 to make the work opportunity credit permanent;” it has two cosponsors. Tom says he favors simplified taxes, but evidently not if business benefits. Does Tom not understand that business tax loopholes cost the Treasury and thus the taxpayers? Tom writes:
This week, I introduced legislation which would help many job seekers find employment by permanently extending the Work Opportunity Tax Credit (WOTC). The tax credit is designed to encourage businesses to employ groups of people that are currently using government assistance programs, veterans and those with disabilities, as well as those that have consistently faced barriers to entering the workforce.
I care about those in our local communities who are struggling to find employment and it is only fair that we ensure those that want to work have the opportunity to do so. We have the best workforce in the world, with a work ethic that is second to none. Permanently extending the WOTC will ensure that more employers are able to hire eligible individuals, as the tax credit offsets the extra costs of hiring and training.
It is estimated that New York State could save over $175 million annually from spending reductions and matching costs from WOTC, nearly twice the annual cost of the program.
Tom says he cares about those in our local communities who are struggling to find employment and so thinks it only fair to make another tax loophole permanent. Tom doesn’t say who estimated the savings or give an estimate of the cost to the Treasury.
https://www.congress.gov/bill/114th-congress/house-bill/2754
There are related bills; here are some:
https://www.congress.gov/bill/114th-congress/house-bill/145
https://www.congress.gov/bill/114th-congress/house-bill/260
If these tax loopholes and benefits haven’t done much so far for the ” many job seekers” – whom does it help is it to make these loopholes and benefits to businesses permanent?
We cannot expect to make a silk purse from a sow’s ear, and neither honest talk from Tom Reed.
This author, Cappelli, concludes that WOTC has been cost effective as Tom claims, but that doesn’t necessarily justify funding it with a tax loophole–it could be funded directly from the Treasury.
http://www.adp.com/~/media/Reference%20PDFs/Cappelli_Study_2011.ashx
Well, we, the taxpayers, subsidize Walmart to the tune of over $6,000,000,000 per year with food stamps,housing allowances, etc. I guess Tom simply wants to extend the GOP corporate welfare system to all employers. Didn’t know he was a socialist !
actually Walmart subsidizes welfare benefits, food stamps and housing allowances by providing part time jobs to people who can’t work full time 😛
in fact Walnart subsidizes SSI and SSD by providing part time jobs for retired and disabled people too 😛
Pretty funny…Oh…you were serious?
YOU SAID– ” Tom says he favors simplified taxes, but evidently not if business benefits. ” 😛
Creating loop-holes, which creates more benefits for businesses, doesn’t simplify the tax code; it makes the tax code more complex.
here I will help you out, it should read like this– ” ” Tom says he favors simplified taxes, but evidently only if business benefits
Bottom line. Reed will do what ALEC tells him to do.
Interestingly, the GOP leadership reportedly is now considering “reforming” business taxes only.