Gingrich Campaign Press Release - Gingrich's Plan to Restore American Manufacturing is Far Bolder than Romney's
The Romney plan moves in incremental steps; the Gingrich plan advances a bold new vision of limited government that frees American businesses to produce, export and create jobs.
| Gingrich | Romney | Verdict: Gingrich Plan Better |
|
|---|---|---|---|
| Capital Gains Tax for American Manufacturers |
Eliminated |
Up to 35% |
The Gingrich plan is modeled on the success of the 1997 capital gains cut, which spurred job creation and a 500% increase in venture capital in just 3 years. The Romney plan maintains the corporate capital gains tax, an unequivocal burden on American job-creators who need to be freed to grow, prosper, and compete in a 21st century global economy. |
Income Tax for American Manufacturers |
12.5% |
25% |
The Gingrich plan will create a boom of new American entrepreneurship by dramatically cutting the corporate tax rate to one of the lowest in the developed world. The Romney plan will still be average-to-high compared to the rest of the developed world, and still over 50% higher than our closest economic competitor Canada, which has a rate of only 16.5%. The Gingrich rate makes the U.S. more competitive than Canada. |
| Environmental Protection Agency | Eliminated |
Keep EPA and "streamline regulations" | The Gingrich plan will end the EPA's 40-year assault on American energy and entrepreneurship. The EPA is too structurally and culturally broken to be fixed in piecemeal steps; the EPA must be replaced with an Environmental Solutions Agency that promotes local solutions, responsible expanded energy development, and pro-growth regulation. |
| Income Tax Rates for American Consumers | Choice of current system or 15% flat tax with personal, homeowner, and charitable deductions | Maintain existing system |
The Gingrich plan gives Americans a choice to continue to file under the existing system, or to eliminate compliance costs and hours of paperwork by filing with a flat rate of 15%. The Romney plan hopes to make taxes "flatter" in the future, but offers no immediate choice and no immediate relief. |
| Expensing for Capital Expenditures | 100% expensing |
No information provided | The Gingrich plan will give manufacturers the opportunity to fully write-off capital investments in one year, instead of over the course of a multi-year depreciation schedule. This reform will not only spur investment in new equipment and infrastructure, but it will also lower income subject to federal taxes, and thus give businesses more money to spend and to hire new employees. |
Newt Gingrich: a clear record of job creation
The Newt Gingrich record on jobs and prosperity is clear: During his Speakership, Americans created over 11 million new jobs. Entrepreneurs invested historic amounts of venture capital following the biggest capital gains tax cut history. Manufacturing grew steadily, with nearly 17.5 million Americans working in the sector by the time he left office in 1999.
As president, Gingrich will adopt the same proven job creating policies he employed as Speaker, as well as those implemented by Ronald Reagan, to restore economic growth and job creation in America: a bold series of tax cuts and regulatory reforms, unleashing American energy, and returning power to the states.
Romney Record: lost jobs, companies fled Massachusetts
Under Mitt Romney's management, jobs in Massachusetts grew by barely 1%, companies regularly departed for more business-friendly states and nearly 40,000 of the Bay State's manufacturing jobs evaporated.
Click here for a side-by-side comparison of Gingrich and Romney's tax plans.
Newt Gingrich, Gingrich Campaign Press Release - Gingrich's Plan to Restore American Manufacturing is Far Bolder than Romney's Online by Gerhard Peters and John T. Woolley, The American Presidency Project https://www.presidency.ucsb.edu/node/297596