Dick Lugar: “I thank my Senate colleagues for passing the resolution providing advice and consent to the Protocol amending the…”

“I thank my Senate colleagues for passing the resolution providing advice and consent to the Protocol amending the existing U.S. Tax Treaty with the Netherlands through the unanimous consent procedure. In spite of legislative hurdles that arose during the process, this Protocol will be enacted, and will bolster the economic relationship between the United States and a country that is already both a good friend and a critical trade and investment partner. As the United States considers how to create jobs and maintain economic growth, it is important that we try to eliminate impediments that prevent our companies from fully accessing international markets. In the case of taxes, we should work to ensure that companies pay their fair share while not being unfairly taxed twice on the same revenue. Tax treaties are intended to prevent this double taxation so that companies are not inhibited from doing business overseas. As the United States moves to keep the economy growing and to increase U.S. employment, international tax policies that promote foreign direct investment in the United States such as this Protocol, are critically important. I have received communications from several corporate employers. The foreign entities indicate that this Protocol will provide them with incentives to 'insource' to the United States. The domestic companies indicate that this Protocol will provide overall advantages and benefits.”