Tax breaks only to those who create jobs in US: Obama

[OhioChick]

Source: Economic Times of India

10 Sep, 2010, 10.34PM IST,PTI

WASHINGTON: Stepping up his campaign against outsourcing, US President Barak Obama today asserted his administration would offer tax benefits only to those firms which will create jobs in the country, a move that may hit Indian IT firms in a big way.

"We believe on tax breaks for those firms that create jobs in the US. So we are beginning to do that," Obama said at a press conference here.

His remarks came close on the heels of the Ohio state Governor passing an executive order to ban outsourcing, a development that has raised concerns in India which is often described as the world's back office.

All firms that would innovate in the US would get tax breaks, he said.


Read more: http://economictimes.indiatimes.com/tech/ites/Tax-breaks-only-to-those-who-create-jobs-in-US-Obama/articleshow/6532666.cms

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:thumbsup:

[quiet.american]

1. Indeed, thumbs up. K&R. nt

[bjobotts]

30. Official gov.report just out states these billionaires increased foreign investments by over $2trill

[bjobotts]

31. Tax cuts gave them the money to create jobs alright...in China

[quiet.american]

45. Thanks for pointing out that GOP obstruction enables these mofos. nt

[Newsjock]

2. Here, let me find my World's Smallest Violin

This song is for you, Bangalore. Waaaaaaah.

[ChromeFoundry]

3. As it "should have been" all along. n/t

[whathehell]

5. Precisely...Kudos to Obama on this one. n/t

[L0oniX]

10. Big lesson: tax breaks for the rich does not equal US jobs.

[m00nbeam]

20. +infinity

Outsourcing has killed the middle class and made us all wage slaves.

[No Elephants]

57. "Offshore outsourcing," aka "offshoring," takes American jobs. Domestic outsourcing may create them

[glinda]

4. well that is novel

[texastoast]

6. Now those are tax breaks worth discussing

And I doubt Raygun could have conceived the idea.

[Turborama]

7. I obviously need to do some catching up.

Firms are being given tax breaks if they create jobs outside the US?

[OhioChick]

12. Been going on for a long time...

Here's something to give you an idea:

Tax breaks for outsourcing

http://techpolicy.typepad.com/tpp/2004/03/tax_breaks_for_.html

I'll find more later.

:hi:

[No Elephants]

61. Please see Reply 57. Distinguishing between "outsourcing" and "offshoring" is important when

the issue is American jobs.

[azurnoir]

8. Kudo's to Obama for this

further more he should use the "almighty" IRS to make it very unprofitable for companies to outsource jobs

this may help to in small part undo the harm caused by NAFTA, I really hate to say this but more harm was done under Clinton between NAFTA and "welfare reform" to the American than can be calculated he did not invent the term "underclass" nor did it come into being under him but he did do much that put permanent in front of it

[loudsue]

46. Clinton was the best republican president the democrats ever had.

Obama may well be the second best.

Fuck the DLC. All in the world they are is infiltrators. The DLC is how the republicans took over the democratic party.

[No Elephants]

58. You forgot repeal of Glass Steagall, which eliminated the last safeguard against the risky mortgage

derivative securities that led to the bailout of both banks and Wall Street.


Often, someone points out that the votes were there to override a veto. True, but Clinton's saying beforehand that he wanted repeal on his desk for his signature ASAP probably helped get at least some of those votes, especially from the Demooratic side. (Yes, Virginia, the wishes--and powers--of Democratic Presidents do affect Congressional votes.)

Besides, what in God's name is wrong with a veto of something you feel is bad for the people of America, even if you think it MIGHT be overridden?

[No Elephants]

62. Please see Reply 57.

[L0oniX]

9. Fuck India. Our jobs first!

[SpiralHawk]

11. "Whine, Squeal. Dammit." -- Republicon Corporatistas (R)

[naaman fletcher]

13. amen brother. nt

[Blue Owl]

14. Suck it, cheap labor repubicons

SUCK IT!

[Steve20]

15. re

thumbs up

[NashuaDW]

16. How about killing this program?

Federally-backed program aims to help outsourcers in South Asia become more fluent in areas like Java programming—and the English language.

By Paul McDougall
InformationWeek
August 3, 2010 01:59 PM


Despite President Obama's pledge to retain more hi-tech jobs in the U.S., a federal agency run by a hand-picked Obama appointee has launched a $36 million program to train workers, including 3,000 specialists in IT and related functions, in South Asia.

UPDATE: InformationWeek has learned that USAID just launched a similar campaign in Armenia.


They Are Quite Excited About the Possibilities Following their training, the tech workers will be placed with outsourcing vendors in the region that provide offshore IT and business services to American companies looking to take advantage of the Asian subcontinent's low labor costs.

[OhioChick]

17. I believe that was put to rest (Sri Lanka) but not sure about the Armenian one

http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=102x4535887

Welcome to DU.

[No Elephants]

60. Aw, for the luvva Mike!

Welcome to DU.

[Cass]

18. Excellent news!

Now let's hope he can get it passed through Congress without the usual suspects gumming up the works.

[KoKo]

19. Good News....hope there won't be loop holes, though.

:kick:

[awoke_in_2003]

42. My guess...

is this will include part-time positions. Companies love to hire "part-timers" that work 30 to 35 hours a week so they do not qualify for benefits.

[KoKo]

43. Possible...all those things that sound so good at first..have loopholes or caveats...

when it gets down to the rest of us.

I still have one last glimmer of hope that this President will "get it."

[awoke_in_2003]

44. Unfortunately...

lobbyists write the laws, and the congress critters never read them before a vote. K Street will get their way.

[shanti]

49. that's the new reality for job seekers nowadays

cobble together a couple or three part time jobs just to make a living. you end up working 7 days a week! :(

[awoke_in_2003]

52. and each job...

expects you to give them 100% loyalty

[ArcticFox]

21. Hope he'll ban breaks for outsourcers

It's one thing to give breaks to those creating jobs here. We should also take away any tax breaks, grants, or other assistance to companies outsourcing their labor.

[Little Star]

25. You are right on all counts!

[No Elephants]

63. Please see Reply 57.

[Chan790]

65. No, the difference is a minimal one truly.

A popular tactic is to outsource a job to a firm that only hires "independent contractors" or uses multiple part-timers to do the job formerly held by one full-timer with benefits. The domestic jobs created are not worth the differentiation.

Outsourcing is only marginally better than offshoring and both need to be not rewarding. The law should not differentiate between them. It needs to become not financially rewarding to fuck your employees in these ways.

Edit: It's important to not differentiate here. "Shoot one, kill both" as the theory goes.

[DesertFlower]

22. K&R. nt

[Duval]

23. Good tactic! n/t

[Mr. Ected]

24. Dems need to run with this as a part of their counter-narrative

...to the Repooplican's constant clamoring over tax cuts and pickle-down economics.

[Ignis]

26. K&R

:patriot:

[madrchsod]

27. gee who turned on the lights in the whitehouse?

it`s about time

[Nay]

29. Unfortunately, I think elections turned the lights on. Why wasn't

this done a year ago? And will the idea be quietly dropped the day after the elections? Don't get me wrong, I'm happy if he goes thru with this, but I'm not gonna hold my butt waiting.

[d_r]

28. Good good

[JNelson6563]

32. Awesome!

:toast:

[Incitatus]

33. I wonder how Republicans are going to criticize and attack him for this one.

[JerseygirlCT]

34. Excellent

Never understood why it isn't that way already.

[BattyDem]

35. This is one of those things that makes you ask ...

"Why were job-exporters getting tax breaks in the first place??" :grr:

[No Elephants]

59. Why are all Senators multi millionaires, Alex?

Even Nader seems to have given up on taking money out of the process. Last I saw him on tv, he was suggesting citizens form and fund their own lobbying group in order to have their interests represented in D.C. along with those of big business.

I bet the Framers thought that government and elections were supposed to take care of the pesky issue of representing the interests of the people who finance this nation, including its wars (and MIC), and find themselves getting less and less for their money. And many of them are not sure why, since massive lobbying is largely a post 1980 phenemenon.

Small wonder the mood of the naCion has come to be anti-D.C. and anti-incumbenC, no matter who is {supposedly} running the nation at the moment.

[Skittles]

36. I AM THANKING OBAMA FOR ADDRESSING THIS ISSUE

:thumbsup:

[tavalon]

37. Low hanging fruit

Good thing your snake (otherwise known as our turdblossom or an unnamed top administration source) didn't tell you to leave that one be. Now, if you would fire the snake, I believe you would find the rest of the administration will hum along much better. Lose his loser brother too, would you?

[SocialistLez]

38. Is there a bill sitting in Congress? If so we need to get it passed NOW!

I don't want words, I want some fucking action.

Also don't pass the bill, fucking implement it.

[2Design]

39. oh yes the corps will walk right over this - 3 jobs here 100,000 over there n/t

[Gman]

40. Theme e economy did so well and everyone was working under Clinton

Because he pushed tax breaks and incentives rather than tax cuts. You have to dangle the carrot to drive behavior.

[McCamy Taylor]

41. Why the hell is this news only in INDIA? Where is the US coverage?

Oh, I forgot, all they care about is how they are NOT going to cover the burning Qurans tomorrow.

[Kermitt Gribble]

47. K&R! More great news!

Has there been any legislation proposed as of yet to back this up?

"Ohio state Governor passing an executive order to ban outsourcing" == awesome!!

[shanti]

48. about damn time!!

this was one of his core issues!

[LynneSin]

50. Get rid of that H1-B Visa or at least tighten the rules on it

I appreciate that the US is a giant melting pot but I'm tired of seeing people lose their job and then replaced a few weeks later by someone they brought from overseas to fill the job at a cheaper rate.

[orbitalman]

51. Why couldn't Bush have been that intelligent?? n/t

:sarcasm:

[avaistheone1]

53. Let's see if it happens

before we award accolades.

[MurrayDelph]

54. Before I got laid off from my IT job

a LOT of jobs had already been outsourced. The typical result was a request from the IT in India for us to "do the needful," which we translated as "Please do our job for us."

[No Elephants]

64. Please see Reply 57.

If the topic is your own personal job, you lose it, even if your employer outsourced to an American "body shop," but the job itself would at least stay in America. Offshoring always takes the job out of America.

[renate]

55. Other than the top 0.1% of the population, is there anybody, R or D, who doesn't love this?

This should be the cornerstone of the elections. I have some beloved Indian friends (in Mumbai, not Bangalore, but still...) for whom I genuinely wish nothing but the best, but in these times and to rescue our economy, we need to protect American jobs. This issue should be front and center and President Obama should be the person most associated with slashing outsourcing.

[bread_and_roses]

56. Sounds good - I hope the devil is not in the details

I sure would like something to cheer Obama on about...this is a huge problem, and I hope there's substance behind the statement.

[Shining Jack]

69. I sure hope so too. n/t

[No Elephants]

66. Does this mean corporations will now set up shells in the U.S., as well as the Caymans and Bermuda?

[defendandprotect]

67. A better way to do this would be to overturn whatever benefits, subsidies

are permitting businesses to move overseas and still sell their products here

-- products made by slave labor.

[davidwparker]

68. "an executive order to ban outsourcing" - May this

continue.

All good news, here.

[sarcasmo]

70. World's back office, more like the World's back door.

[OnionPatch]

71. Finally, Obama is moving in the right direction.

This practice of offshoring every job that's possible to offshore has been the biggest slap in the face to American workers imaginable. We worked long and hard to create a middle class in this country by having labor laws and minimum wages yet the powers-that-be found a way to skirt around all of it. That our government by and for the people would allow and actually encourage this is treasonous to the American way, IMO. I have nothing against people in other countries getting needed work, but not at the expense of our middle class. What good is a border if it doesn't protect the things the citizens hold dear? I would certainly count our jobs in that category.