U.S. CONGRESS Lawmakers want changes in business tax-cut package

Republicans worry that the bill, as it now stands, will drive away jobs.
WASHINGTON (AP) -- Some House Republicans are rebelling against a $128 billion package of business tax cuts aimed at helping U.S. manufacturers and endorsed by GOP leaders, griping that it offers too much to multinational corporations that are moving plants and jobs overseas.
"Who wants to vote for a bill to make cheap imports cheaper?" asked Rep. Donald Manzullo, R-Ill. "It is looked upon as a trade bill because we're going to reward companies to move production offshore. Who wants that?"
Twenty-three Republicans, including Manzullo, have told the House's Republican leadership they don't want that. They signed a rare public letter declaring they want the bill changed.
House Speaker Dennis Hastert, R-Ill., acknowledged Thursday that the GOP doesn't have enough votes yet to pass the bill, and is getting an earful from anxious lawmakers.
"Members are frustrated. Don Manzullo and folks like that are frustrated," he said. "They've seen a lot of jobs disappear from their district and go to other places."
Supporters
The bill's supporters voice optimism that members will change their minds when they learn more about the tax cuts in the bill.
Rep. Jennifer Dunn, R-Wash., who hesitated to support the bill before realizing that software giant Microsoft would benefit from its tax cuts, is now selling the bill to other members. She said two of the 23 members opposing it have already changed their minds.
"They'll support the bill," she said. "You just have to do it one by one."
A group of lawmakers lobbied hard most of the year for a tax cut aimed at American manufacturers, hoping to give the struggling sector a competitive boost in world markets. The House Ways and Means Committee passed those tax cuts, but also added changes to international tax rules that cut taxes on multinational corporations. Democrats estimate the tax cuts for multinational corporations add up to $40 billion over a decade.
Republicans on the House Ways and Means Committee have repeatedly circulated studies showing that U.S. multinationals generate millions of American jobs, but members who see layoffs in their districts say the tax cuts for multinational corporations will only make the job losses worse.
"It's because of the problems right now with manufacturing, the competition with China in particular," said Rep. Sue Myrick, R-N.C., who leads an organization of the House's most conservative Republicans.
Economic split
The divide among members is economic, not ideological, she said. "I think it's very split," she said. "It depends on what your district's like."
Many of the members publicly opposed to the bill come from regions with manufacturing job losses, such as Illinois, Pennsylvania, North Carolina and Ohio. Rep. Jack Quinn, R-N.Y., said many lawmakers from New York remain undecided and will formally present their concerns to GOP leaders.