Roskam Applauds House Passage of 3% Withholding Rule Repeal
WASHINGTON, D.C. – Chief Deputy Whip Peter Roskam (IL-06) issued the following statement after the House passed H.R. 674, a bill to permanently repeal the 3% withholding requirement placed on businesses' contracts with local, state and the federal government – legislation President Obama supports:
"House Republicans are continuing to show that we want to work with President Obama on legislation where there is common ground. This bill will free companies from the burdensome withholding rule, giving them more access to capital to grow their business. Employers all across the country are facing capital shortfalls, directly undermining their ability to create jobs.
"I urge President Obama and Senate Democrats to continue to work with us on policies that will help create jobs, like the three pro-export trade agreements both parties supported just weeks ago. House Republicans have passed over 15 jobs bills this year that are stalled in the Senate. For our economy's sake, it's long past time they're taken up."
What Employers Are Saying About the 3% Withholding Bill:
Associated Equipment Distributors President & CEO Toby Mack
"The tax would create enormous cash flow problems for equipment distributors and construction contractors, who do business with state and local governments on razor-thin margins. Repealing the tax will help provide certainty and restore confidence for small construction firms still struggling to recover from the recession."
Chicago Roofing Contractors Association Executive Director Bill McHugh
"If allowed to take effect, this tax will create cash-flow problems and a punitive contracting environment in which it will be even more difficult for roofing contractors and other businesses to create and sustain the jobs needed for economic recovery."