Senator Sheldon Whitehouse (D-RI) and U.S. Representative David Cicilline (D-RI) announced today the introduction of the Offshoring Prevention Act. Like last year’s Bring Jobs Home Act – filibustered by Senate Republicans – this bill eliminates a special tax break for companies that ship jobs overseas.
The way it works now, U.S. companies that manufacture goods abroad for sale here can hold their foreign income outside of the country, untaxed. The Offshoring Prevention Act would require companies that send factories and jobs overseas to play by the same rules as companies that keep jobs and factories in the U.S. This remove an offshoring incentive and helping local businesses compete.
Keeping Jobs Here Reduces Deficit
The Joint Committee on Taxation has estimated that this legislation would generate $19.5 billion in new revenue over ten years.