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Carter not Ready to Pink Slip 300,000 Texans

Press Release

Location: Washington, DC


Representative John Carter (TX-31), House Conference Secretary, made the following statement after the Democrats included a last minute, job killing 30 percent tax increase on foreign investment in America in the 2008 Farm Bill.

"Once again, the Democrats are out to cripple our economy by imposing a thirty percent tax increase on foreign investment in America," Congressman Carter said. "This bill does nothing but slash over 5 million American jobs by imposting a tax increase that was air dropped into a bill at the last minute."

The tax provision was added to the bill late last night by Rep. Lloyd Doggett (D-Austin, Texas) after the bill had passed out of committee unanimously by Republicans and Democrats.

"It is shameful that the Rules Committee would wait until the lights are turned out for the night in Congress and go behind closed doors to sneak in a tax provision that can't be voted on by members," Carter said. "This provision was never negotiated in committee, never had a hearing and had no bipartisan input."

According to the National Association of Manufacturers, the haphazard tax increase will hit 341,200 workers in Texas alone, threatening their jobs. Across the U.S., these increases could lead to pink-slips for 5,116,400 hard-working Americans. In addition, 50 foreign-owned companies in Texas who employ American workers will find themselves paying 30 percent in taxes on their American investments, which overrides a series of carefully negotiated treaties between U.S. and foreign nations that have been approved by the U.S. Senate over the past several decades. Companies that will be affected by this increase in Texas include BAE, Cadbury Schweppes which includes brands like Dr. Pepper, Honda, Nestle, Shell Oil Company, Sony, and Renewable Energy Systems who is currently building renewable energy wind farms across Texas.

"I am not in the business of slashing Texas jobs, but apparently there are those Members who are," Congressman Carter continued. "My constituents sent me to Washington to support sound policy that will increase jobs and lower taxes. They didn't send me here to vote on a bill that discourages foreign companies to create jobs here in America by punishing them with a 30 percent tax increase."

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