Manufacturers Appreciate Chairman Baucus’ Commitment to Tax Reform

By June 11, 2012Taxation

Senate Finance Committee Chairman Max Baucus (D-MT) today outlined what he called his four goals for tax reform: jobs from broad-based growth; competitiveness; innovation; and, opportunity. These are goals Manufactures share.  NAM has long been calling for comprehensive tax reform that will ensure that our tax code is no longer an impediment to business and success, and one that is a far cry from the byzantine, labyrinth that is our tax code today.

Like Chairman Baucus, the NAM believes the code should be modernized, simplified and more stable. Today too many provisions regularly need to be extended. What’s more, in today’s global economy, the U.S. must have a tax code that includes a globally competitive corporate tax rate of 25% or lower and which recognizes that some products must be produced outside of the U.S. to serve the 95% of consumers that do not live within our borders. In order to ensure that American companies remain competitive we need a territorial system of taxation that encourages companies to bring foreign income back to the U.S. Additionally, we need a permanent, expanded and simplified R&D Credit to, as Chairman Baucus noted, “bolster… innovation. Innovative companies create jobs.”

One item that the Chairman didn’t address specifically but is a key goal for the NAM in tax reform is permanent lower rates for individuals – nearly 70 percent of manufacturers operate as “flow-through” busiensses with the owners paying business taxes through their individual tax returns. We would be greatly remiss to not recognize the impact of these manufacturers in the context of comprehensive tax reform.

As the Chairman said, “tax reform is a once-in-a-generation opportunity. We can cement America’s preeminence.” Manufacturers wholeheartedly agree that the right kind of tax reform can do just that and we look forward to continuing to work with the Senate Finance Committee and the House Ways and Means Committee as they continue to lay the groundwork for this effort.

Carolyn Lee

Carolyn Lee

Executive Director of The Manufacturing Institute at The Manufacturing Institute
Carolyn Lee is Executive Director of The Manufacturing Institute, the non-profit affiliate of the National Association of Manufacturers (NAM), the nation’s largest industrial trade association. Carolyn drives an agenda focused on improving the manufacturing industry through its three centers: the Center for the American Workforce, the Center for Manufacturing Research, and the Center for Best Practices.

In her role, Carolyn leads the Institute’s workforce efforts to close the skills gap and inspire all Americans to enter the U.S. manufacturing workforce, focusing on women, youth, and veterans. Carolyn steers the Institute’s initiatives and programs to educate the public on manufacturing careers, improve the quality of manufacturing education, engage, develop and retain key members of the workforce, and identify and document best practices. In addition, Carolyn drives the agenda for the Center for Manufacturing Research, which partners with leading consulting firms in the country. The Institute studies the critical issues facing manufacturing and then applies that research to develop and identify solutions that are implemented by companies, schools, governments, and organizations across the country.

Prior to joining the Institute, Carolyn was Senior Director of Tax Policy at the NAM beginning in 2011, where she was responsible for key portions of the NAM’s tax portfolio representing the manufacturing community on Capitol Hill and in the business community and working closely with the NAM membership. She served as the Director of Legislative and Government Affairs at the Telecommunications Industry Association, Manager of State and Federal Government Affairs for 3M Company, and in various positions on Capitol Hill including as Legislative Director for former U.S. Senator Olympia Snowe (R-ME), and as a senior legislative staff member for former U.S. Rep. Sue Kelly (R-NY).

Carolyn is a graduate of Gettysburg College in Gettysburg, Pennsylvania graduating with a B.A. in Political Science. She resides in Northern Virginia with her husband and three children.
Carolyn Lee

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