United States: Camp, Baucus Take Tax Reform Debate To Silicon Valley
22 August 2013
Posted by: Author: Mary Swire
Author: Mary Swire
On August 20, Senate Finance Committee Chairman Max Baucus (D – Montana) and House of Representatives Ways and Means Committee Chairman Dave Camp (R– Michigan) visited the Silicon Valley area as the third stop on their nationwide tour to carry forward the debate on United States tax reform.
The two tax-writing chairmen visited two high-tech sector businesses: Square, a San Francisco-based producer of mobile payment technology, and Intel, the Santa Clara-based manufacturer of microprocessors and other computer components. Such firms investing substantially in research would be particularly interested to discuss if and how Congress proposes to reform research and development tax credits and accelerated depreciation.
"Tax reform provides an opportunity to spark economic growth, create jobs, and make US businesses more competitive, both here at home and in the global marketplace. It can provide America a real shot in the arm," Baucus and Camp said in a joint statement. "We're here to gather input and ideas on how we can improve the tax code and spark growth and innovation."
During a visit at technology start-up Square, the committee chairmen heard about the US tax code challenges facing Square's tens of thousands of merchants. Baucus asked how improving the tax incentives for research and development could give high tech companies like Square a boost, while Camp asked Square's business leaders how modernizing the US international tax code and lowering the corporate rate could improve Square's ability to compete both locally and globally.
Baucus noted that: "We've got a real opportunity in tax reform to give innovators here in the US a lift," while Camp added that: "Job creators, like these in the technology sector, are looking for a simpler, flatter, fairer tax code so they can better compete in the global marketplace. Fixing our broken tax code can make America a more attractive place to invest and hire."
Baucus and Camp began their nationwide tax reform tour – the "Simpler Taxes for America Tour" – in Minnesota, before their tour moved on to Pennsylvania and New Jersey. Camp and Baucus plan to continue their visits to communities across the nation throughout the summer to hear directly from the American people about the need to improve their experience with the tax system.
The two men have already disclosed their joint endeavor to explore non-partisan comprehensive tax reform. Over the past two years, they have held more than 50 Congressional hearings on how the US tax code can be fixed, and, in May this year, teamed up to launch TaxReform.gov, a new website dedicated to obtaining input from the American public.