Tiberi Questions Business Owners on Impact of Tax Policy on Ability to Create Jobs

Statement

U.S. Congressman Pat Tiberi (R-OH), the Chairman of the Ways and Means Subcommittee on Select Revenue today issued the following statement regarding today's Ways and Means Committee Hearing on Fundamental Tax Reform:

"We have to ensure U.S. businesses are on a level playing field when they compete overseas. Over the past 25 years, other countries have lowered their corporate tax rate to attract businesses, leaving the United States with the soon to be the highest corporate tax rate in the world. Unfortunately, companies don't have to be based in the United States and unless we are proactive about reforming our tax system, companies may leave. As Robert McDonald, the CEO of Procter and Gamble, acting in his capacity as the Chairman of the Business Roundtable's Fiscal Policy Initiative, testified, countries around the world are competing for investment, and U.S. companies must remain competitive in order to remain headquartered here.

"It became clear that even though American companies export products and services, jobs are created right here at home when they are able to better compete and succeed. Robert McDonald explained that 60 percent of Procter and Gamble's products are sold overseas, yet 40 percent of their employees in Ohio are directly related to their international exports. Basically, the more diapers or toothpaste sold overseas, the more American jobs are created.

"At the hearing, business owners and taxpayer advocates agree that our tax system is too complex and too costly. By simplifying our tax code and broadening our base, not only would individuals feel a lighter burden, but American companies would be better able to compete and create American jobs."

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