HOUSTON – The Greater Houston Partnership continues its efforts to oppose the Obama Administration’s proposed reformation of the Federal tax deferral rules.
Multinational companies employ over 100,000 people in the greater Houston area and 22 million nationwide. They depend on the federal international tax rules to remain competitive in the global marketplace. Reforming the tax deferral rules will significantly increase the corporate tax burden on those corporations doing business overseas, motivating the multinational companies to relocate overseas to a more profitable tax structure. Losing these companies to overseas markets will increase job and investment loss at a time when we must be ever-mindful of our continued economic prosperity.
As the primary advocate for the Houston region’s business community, it is the Partnership’s responsibility to act in the best interest of the corporations at stake. The Partnership has sent a letter to the Texas Congressional delegation; Senator Max Baucus, Chair of the Senate Committee on Finance; and passed a resolution opposing the Administration’s tax deferral plan. In May, the Partnership hosted Congressman Kevin Brady at a round table discussion on the reform. The round table discussion included members of the Partnership’s Board of Directors, Public Policy committees and other local business leaders. The organization is also in the process of meeting with congressional members in the Houston area to further discuss the devastating effects of this reform.
The Houston region and Texas constitute one of the strongest business centers in the world. It is critical for us to strengthen our efforts to prevent the federal tax deferral provisions from being repealed and keep our companies and jobs at home.