News

Durbin Introduces Tax Credits for Companies That Stay in U.S.

Durbin Introduces Tax Credits for Companies That Stay in U.S.

Photo: Newsradio WTAX

A new tax credit proposed by U.S. Sen. Dick Durbin (D-Ill.) would reward companies that pay workers higher wages, and don’t leave the country.

Durbin calls it the Patriot Employer Tax Credit. In order to qualify, employers have to maintain or increase the number of jobs they have in the U.S., pay almost all their workers $14 per hour or more, and provide retirement and health benefits. To pay for the tax reduction, Durbin wants to reduce tax deductions companies can take when closing operations in the U.S.

“We’re creating some incentives for the wrong things,” Durbin said. “There should be no incentives in the U.S. tax code to ship jobs overseas. Currently, we have them.”

Durbin says those credits cost about $50 billion per year, and claims it forces more people to rely on government assistance. The new tax credit would be worth about $1,200 per worker, depending on the company’s federal tax rate.

Durbin is introducing the bill in the Senate this week, but admits that it’s not likely to be considered until next year as part of broader tax reform.

Recent Headlines

in Entertainment

This weekend in entertainment history

elvis

A look at the Hollywood headlines that went down in history.

in Trending, Viral Videos

TODAY’S MUST SEE: Kids react to a realistic Barbie doll

19-overlay3

The Lammily doll wants to show children that average is beautiful.

in Entertainment

Amazon plans new streaming service

amazon

The new service will compete with Hulu and Netflix.