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House Repeals Job-Killing Contractor Withholding Regulation

10/27/11

For Immediate Release: October 27, 2011

(WASHINGTON, DC) – A job-killing special withholding regulation on contractors who provide services to local, state, or federal agencies was repealed by the House today by an overwhelming margin.

“This is one more victory in our effort to rollback unnecessary federal regulations that cut jobs and raise costs in the private sector,” says House Republican Conference Secretary John Carter.  “Like the repeal of the 1099 reporting regulation earlier this year, this vote also reinforces that this new Congress does not hold the private sector automatically suspect on tax compliance.”

Carter says today’s passage of H.R. 674 to repeal the pending 3% withholding tax on payments to government contractors will provide a badly needed boost to the private sector’s confidence that Congress will support private sector job growth again.  “Growth in private sector jobs is the only thing that will effectively stimulate our economy and bring our national debt under control,” says Carter, “and I am pleased that we have started treating our businesses with some respect again.

H.R. 674 is part of the House Republican Plan for America’s Job Creators, and is expected to eventually be signed into law.
 
 
 
Contact: John.Stone@mail.house.gov; (202) 225-3864
U.S. Rep. John Carter
31st District of Texas
409 Cannon House Office Building
Washington, DC 20515