Washington, D.C. – U.S. Senator Catherine Cortez Masto (D-Nev.) cosponsored the American Cars, American Jobs Act, legislation that will support the auto industry and keep auto jobs in the United States. The bill will give consumers a $3,500 voucher towards the purchase of a vehicle produced primarily in the U.S. or Canada and revoke tax breaks for auto manufacturers that send jobs overseas. It was introduced by U.S. Senator Sherrod Brown (D-Ohio).
“The American Cars, American Jobs Act will strengthen America’s proud auto industry and support its continued growth. This bill ensures that America’s auto industry puts its workers and American consumers first and holds companies accountable for offshoring jobs. This legislation will incentivize the purchase of American-made vehicles and eliminates tax cuts for automakers that ship jobs overseas.”
BACKGROUND:
The American Cars, American Jobs Act would establish a targeted, temporary program to provide customers with a $3,500 discount on a purchase or 5-year lease of a qualifying new, American-made passenger vehicle. Qualifying vehicles must be assembled in the U.S. and contain at least 45 percent of materials from the U.S. and Canada.
The bill would also revoke a special tax cut included in the GOP tax bill for auto companies that send jobs overseas. The GOP tax law allows some overseas profits to be taxed at a lower 10.5 percent rate, instead of the full 21 percent corporate rate. This bill would tax those overseas profits at the full 21 percent rate for auto companies that cut American jobs since the tax bill passed and increase jobs overseas.
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