Opposes help for teachers, students, middle class
Forthe second time in a week, John Sununu voted against a package to extend thetuition tax credit, provide incentives for clean energy development, and extendthe research and development tax credit that helps American companies createnew jobs. The package Sununu voted against yet again also contained taxdeductions for teachers who spend their own money on classroom supplies, whichcurrently affects over 20,000 New Hampshire teachers annually. The bill wouldhave extended these important tax cuts without putting American taxpayers deeper into debt by including offsets that rein in breaks for multinational corporations and hedge fund managers investing offshore. In addition, it wouldhave prevented nearly 27 million Americans from paying the alternative minimumtax, a tax originally designed to ensure that the 155 wealthiest taxpayers didnot abuse tax shelters but that will sweep in millions of middle class familiesif Congress does not act.
“John Sununu had a second chance today to ease the burden of struggling Granite Staters, but yet again chose to stick with the failed status quo,” DSCC spokesman Matthew Miller said. “Why John Sununu continues to put multinational corporations ahead of Granite Staters is anyone’s guess, but it’sclear that New Hampshire families who could have benefited from these vital taxbreaks will remember Sununu’s vote come November.”
- Increases incentives for clean energy entrepreneurs by $18 billion to promote energy independence and create jobs.
o Other incentivesinclude solar, biofuels, and energy efficiency of buildings.
- Extends the tuition deduction, which makes college more affordable for over 4.4 million families, with an average tax cut of $1,120.
- Expansion of the child tax credit to extend the $1000-per-child tax credit to reach an additional 2.9 million children.
- Extension of the teacher expense deduction, which allows 3.4 million families of teachers a deduction for buying supplies for their classrooms.
- Extension of the research and development tax credit, which helps American businesses innovate; over 27,000 businesses will take this credit in 2008, with Minnesota and Texas being among the states with the most companies utilizing this provision.
Offsets Thebill extends these important tax cuts without putting American taxpayers deeperinto debt by including two offsets:
- Ends the deferral of offshore income for hedge fund managers – require hedge fund managers who are paid by entities based in offshore tax havens to pay taxes on that income when it is earned, rather than delaying tax payments.
- Delays implementation of a new tax break for multinationals – the worldwide allocation of interest provision enacted in 2004 and slated to take effect in 2009 would be delayed, leaving businesses in the same position as today.