Tom Harkin: “I don't know how anybody can argue with this bill. It just says, one, we are going to end subsidies for plant closing…”

“I don't know how anybody can argue with this bill. It just says, one, we are going to end subsidies for plant closing costs. In other words, right now, a company could close a plant here and move it overseas. All of the costs of closing down that plant and ending that operation would take a deduction--or they could take losses or credit against taxes for the cost of closing that down. If they shipped it overseas--if a plant goes belly up, and they can't make it anymore, or whatever they have made is not being purchased anymore, that is one thing. I can see providing for credits and losses and deductions for that. But if they are closing it down and starting or expanding a similar trade or business overseas, they should not get any tax benefits whatsoever. That is what this bill does; it ends that loophole. It ends the tax break for runaway plants when they expand their businesses overseas. Why should we allow companies that, as I say, are not good citizens--they take their plant overseas and the money they make over there--first of all, they don't have the same environmental protections. They have terrible working conditions and low wages. But they take all those profits--and a company that is here making the same products in America pays workers more, pays into Social Security, pays higher taxes, has environmental concerns to deal with--but this plant in America has to pay taxes on their earnings.”