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Extensions of Remarks 583 Extensions of Remarks January 4, 1995 EXTENSIONS OF REMARKS 583 EXTENSIONS OF REMARKS REFORM IMMIGRATION LAWS Illegal immigration is a serious problem and Under my bill, aliens would be required to I am delighted that many Members of the new demonstrate that they are unlikely to become HON. BOB STUMP Congress have expressed their willingness to a public charge. If they cannot do so, they will OF ARIZONA confront it. However, there is another problem not be admitted to the United States unless a IN THE HOUSE OF REPRESENTATIVES that is more complex, and just as pressing. I suitable sponsor gives a proper bond and am referring to legal immigration. We are cur­ guarantees financial responsibility for the Wednesday, January 4, 1995 rently experiencing unprecedented levels of alien. This is a reliable and fair way to ensure Mr. STUMP. Mr. Speaker, today, this first legal immigrants, perhaps 15 million in the that those immigrants who wish to come to day of the 104th Congress, I am introducing a 1990's. Through ill-conceived immigration this country will not wind up on our already­ package of three immigration reform bills that laws, we are accommodating people in other overburdened welfare rolls. deserve top priority as the new Congress countries who wish to live here with little re­ Mr. Speaker, as Members of the U.S. Con­ works to make America a better place to live. gard for those already here, citizens and immi­ gress, we have an obligation to the American As I am sure many of my colleagues in this grants alike. people to restore a sense of fairness and re­ body experienced on the campaign trail last Mr. Speaker, it is time to take a break, a sponsibility to our immigration laws. I believe year, Americans are deeply concerned about temporary pause, from the uncontrolled immi­ that my bills take a significant step toward ful­ immigration and its impact on their lives. They gration that has resulted in overcrowded filling that obligation. I urge my colleagues to are anxious about the changing face of this schools and hospitals, scarce employment, in­ join me. country and the problems associated with our adequate housing, and a deteriorating stand­ system of immigration. I don't blame them. On ard of living. I am proposing, through the Im­ any given day, there are countless news re­ migration Moratorium Act of 1995, that we limit REPEAL OF SECTION 903 ports about the destructive consequences of immigration to the spouses and minor children our dysfunctional immigration policies. But one of U.S. citizens, legitimate refugees, and those HON. JAMES A. TRAflCANT, JR. need not rely on the media for an understand­ immigrants who have been waiting in the im­ OF OHIO ing of this issue, as more and more Americans migration backlog for more than 10 years. This IN THE HOUSE OF REPRESENTATIVES are getting firsthand knowledge of the ill-ef­ would bring our immigration numbers in line Wednesday, January 4, 1995 fects of out-of-control immigration. with the traditional U.S. average of about At the forefront of the immigration debate is 297,000 per year. Mr. TRAFICANT. Mr. Speaker, the United illegal immigration. After all, many States, in­ I am convinced that my moratorium bill States taxes the income of its citizens and cluding my State of Arizona, have been hard­ would yield highly positive results. A morato­ corporations whether it is earned at home or pressed to find the resources required to deal rium would allow us to begin absorbing and abroad. The U.S. foreign tax credit provides with this growing problem. They have had to assimilating the millions of newcomers who relief to U.S. taxpayers from the double-tax­ resort to filing suit against the Federal Govern­ have settled here in recent years and also ation so they will not determine where a com­ ment for reimbursement. And, let us not forget give us an opportunity to revamp our mis­ pany invests. Nevertheless, when Congress what took place in California last November. guided and outdated policies to suit the reali­ adopted the section 903 of the Internal Reve­ Through the passage of proposition 187, Cali­ ties of today's America. Furthermore, an addi­ nue Code, an unfair tax advantage was given fornians overwhelmingly conveyed a message tional benefit of a moratorium is that it would to companies that invest abroad. For that rea­ that they will no longer be the victims in the free up manpower and resources to deal with son, I have introduced legislation to repeal illegal immigration crisis. It is just a matter of illegal immigration. section 903. time before other States follow California's I realize that some of my colleagues believe Mr. Speaker, section 903 extends credibility lead. it to be politically unpopular to advocate a re­ to those foreign taxes imposed in lieu of for­ These actions prove that the Congress has duction in legal immigration. However, I would eign income taxes. This means that all foreign been negligent in its duty to put forth an immi­ like to point out that as immigration levels taxes such as foreign sales, excise, and value gration policy that is fair and responsible and have risen, so has public opinion turned added taxes are creditable as business costs in the best interests of the States and the against increased immigration. A CNN/USA towards their foreign taxes paid. There is no American people. Through congressional inac­ Today poll found that 76 percent of Americans constraint on the type of foreign tax that can tion we have sent a message to other coun­ feel immigration should be stopped or reduced be credited. This leaves domestic U.S. compa­ tries that our borders are insecure, that we until the economy improves. And, all opinion nies at a distinct disadvantage. They are only don't have an interest in enforcing our laws, surveys show that the sentiment to restore a able to deduct taxes that are in lieu of income and that we have a never ending supply of more modest immigration flow is about as taxes. public assistance benefits. strong among noncitizens as among citizens, Mr. Speaker, section 903 was enacted in We must act now to correct this perception. and among nonwhite Americans as among 1942 when certain countries taxed companies That is why I am introducing the Immigration white Americans. I encourage the Members of on a different basis from our concept of net in­ Accountability Act of 1995. This bill goes to this body to give these statistics serious con­ come. These countries were less sophisticated the heart of the illegal immigration crisis by sideration before abandoning the idea of re­ and imposed taxes on a gross income basis, prohibiting the payment of Federal benefits to ducing legal immigration. while the United States concept of net income illegals and ending the practice of conferring The last bill of my immigration reform pack­ had become quite refined. In order to make up citizenship on the children of illegal aliens. In age, the Immigrant Financial Responsibility for the difference, Congress extended credit to addition, the bill would strengthen our often­ and Sponsorship Act of 1995, is directed at all foreign taxes. Since 1942, however, foreign abused asylum system by providing for the ex­ rapidly growing immigrant welfare use. The tax systems have become quite sophisticated. peditious processing of meritorious claims and percentage of immigrants below the poverty Thus, the scope of section 903 has been ex­ the prompt exclusion of those who attempt to line is 50 percent higher than that of natives. panded to include a credit for taxes paid to defraud the system. Finally, the bill calls for a Even more astonishing is that the estimated foreign countries in lieu of foreign income tax. significant increase in the Border Patrol. By in­ 1993 public assistance and services costs for Mr. Speaker, creditable foreign taxes must creasing our border security and eliminating immigrants was $10.42 billion. At a time when be limited to income taxes and taxes of similar these compelling illegal immigration incentives, we are searching for ways to reform the wel­ nature. This is because under present law in­ I believe we can turn the tide of illegal immi­ fare system in this country it would be foolish direct taxes and other taxes in lieu of taxes gration. to let this costly trend continue. can be shifted onto either consumers or labor. e This "bullet" symbol identifies statements or insertions which are not spoken by a Member of the Senate on the floor. Matter set in this typeface indicates words inserted or appended, rather than spoken, by a Member of the House on the floor. 584 EXTENSIONS OF REMARKS January 4, 1995 A tax is shifted when a corporation is able to The Council of Economic Advisors estimates portunity and an abdication of our inter­ maintain its profits at their pretax level despite that within a decade GATT will boost U.S. national leadership. The U.S. dominated the paying an income tax by raising prices. There­ economic output by $100-200 billion a year. negotiations: how could other countries have GATT should directly benefit many Hoosier confidence in us if we failed to approve an fore, these companies are receiving relief from workers. Indiana manufacturers will see a agreement so beneficial to our interests? a tax burden in the form of tax credits that 33% reduction in tariffs on their products. Without this agreement, countries would they do not bear. The consumers and workers Distillers will benefit from lower tariffs on erect new trade barriers, and protectionism incur part of the burden of the tax.
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