Before the president turned his speech into a cage match with the Republican primary contenders, I asked what bipartisan, pro-job measures were really obtainable. There were several great ideas that conservatives would love, but that Democrats would never go for. But soldu2 advocates that we:
Cut the tax rate on repatriation of foreign income provided companies increase payroll a certain amount. Make it meaningful enough for corporations to want to do it.
in a sense, we are subsidizing employment with “found money” in that the foreign earnings were never coming back to the US under the tax code as it stands now. . . .
Republicans get their ideological wish to repatriate foreign income. They should go along with it, despite the social policy meddling aspect of it which they will hate.
Democrats get something that will start companies hiring now, as opposed to some big infrastructure spending program which will take too long to ramp up to meaningfully affect employment in time for the 2012 election.
Both Democrats and Republicans have shown interest in the idea. I’ll admit that I thought this would never be a viable deal outside comprehensive tax reform. But with Big Labor, business and some Republican leaders behind the idea, why not give it a shot?
Interestingly, that is what Ohio Gov. John Kasich recently suggested just that. As Kasich noted, Obama isn’t interested in cutting taxes but why not let companies “bring back” their money to the U.S. instead of leaving it overseas? It may be a one time gimmick, but we could use a few of those about now.