McMorris Rodgers Votes to Repeal 3% Withholding Requirement

House Passes Bill to End Unfair
Burden on America’s Job Creators

Washington, DC – Rep. Cathy McMorris Rodgers (R-WA), Vice Chair of the House Republican Conference, voted for legislation today to repeal the 3 percent withholding requirement imposed on employers when they receive payments from the government for services they provided. This bill will bolster job creation by removing a costly, unfair burden on America’s jobs creators. 

“In this economy, job creators don’t have the luxury of not being paid on time,” said Rep. McMorris Rodgers. “The withholding requirement wrongly assumes that job creators who do business with the government are somehow evading full taxation.  Pre-taxing businesses 3 percent to prevent them from underpaying is like paying only 97 percent of a home repair bill ‘in case’ the repair man is overcharging.   Since the American people can’t choose to pay less than 100 percent of their bills, neither should the federal government.  I’m proud to support this bill which will bring fairness to the tax code and let job creators keep more of their money to create more jobs.”    

H.R. 674 passed the House and now moves on to the Senate.  

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