Central New York Republican Rep. John Katko met with businesses in Syracuse Monday to discuss the tax bill he voted for, which passed the House of Representatives. Business owners said they would reinvest in their companies if the deal goes through.
Jackie Wilson said the Republican plan could save her East Syracuse small business, American Fashion Network, seven percent in taxes.
“For us that’s tremendous because that goes back into profit share, it helps with capital investment, it helps with hiring,” Wilson said.
Many of the companies at Katko’s roundtable said they want a level playing field with the rest of the world. Katko said the bill lowers the federal corporate tax rate to make it more more competitive.
“With the fact that we’ve already gone through this shakeout over the last 20 years, making us more lean and mean, just to be able to compete and survive with this tax structure, we’re going to unleash the beast," Katko said. "I think American might will come back to the forefront.”
Katko said the vast majority of his constituents could have lower taxes by January.
"It's going to help these workers stay here because it will put a little bit more money in their pocket, allow them to stay here in New York State, instead of fleeing somewhere else to find opportunity," Katko said. "I don't subscribe to the fact that manufacturing is dead here either. I think we can bring manufacturing back and enhance what we already have here."
He said receiving a $1,000 tax cut more than makes up for eliminating deductions like student loan interest and school supplies for teachers.
“You got to keep it all in perspective, you can pick and choose any little issue you want, but if you take a look at the big picture and what is really going on, those issues fall away,” Katko said.
The Senate still needs to vote on their own tax overhaul bill. Katko has said if that version eliminates all deductions of state and local taxes, he won't support it.