Speakers will include public figures, musicians, poets, and artists. Life coverage at 10 00 a. M. Eastern on cspan. The seasick buses traveling across the country on a 50 capital stewart. We recently stopped in dover delaware asking folks what was the most important issue in their state. Hello, and james in dover. Is the most important issues in delaware is the casinos. Left him a check to have a 43 and half text officials from the casinos are lobbying to lower that tax or that provide employment for hundreds of people great source of revenue. Maybe the tax burden could be lowered a little bit. My name is maria, im a freshman envious you. Im majoring in nursing i think deliver is the dreamers i think its important for us to let Congress Know that this time they need to look at motivation that we are students and americans and we are here to stay. Im a junior at taylor state university. Think the leaders in washington, d. C. Should focus on issues like drug abuse. Delaware has issues with drug abuse and narcotics. Pharmaceutical companies could do better to help people in situations like that. Its something thats really taken over. I work in a rehab home and i see a lot of it firsthand. Hello, im emily clark and junior, 20 or so. My majors math communication with the concentration tv, radio and film. Something representatives in d. C. Could help out with my state is about College Funds a little bit more. Not just for sports but for other areas within the College University like art, music, or sciences. That help further education so we could go to the world and help make that a better place in the long run pgh so, math communications major. I think the most important thing the government can do to improve dollars state is remarkably the involvement good energy. The more you bring to youth the more will have a better positive life and state future. Smacked next, hearing on potential changes to the u. S. Business tax code. The Senate Finance committee is hoping to come up with legislation that would spur Economic Growth while still generating revenue for the federal government. This hearing is just over two hours. [inaudible] [inaudible] [inaudible] [inaudible] [inaudible] [inaudible] to will discuss ways to improve the business provisions of the u. S. Tax code with and i toward creating jobs and boosting wages for American Workers and approving her countrys overall business climate. The hearing is part of the ongoing effort following years of tax hearings in last weeks hearing on individual reform to draft and report comprehensive tax reform legislation later this year. Members of both parties recognize the need to reform the way we tax businesses in the United States. As former president , obama noted that the Current System quote does too little to encourage job creation and the investment in the United States while allowing firms to benefit for incentives to shift profits overseas. As we know many elements of a business tax burden depend on the companys organizational form. For example C Corporations or text of the Corporate Tax rate. According to a recent report the top federal statutory Corporate Tax rate is 35 since 1993. Estate taxes added the average state corporate rate is the highest in the industrialized world. Also noted not all corporations pay the full rate the average effective tax rate is among g20 countries. According to an analysis when you integrate corporate level taxes such as those in dividends and Capital Gains u. S. Tax rates are the secondhighest. The last one is important given the United States taxes most corporate earnings that are distributed to shareholders twice both at the corporate and shareholder levels. For the past two years ive been working on a corporate integration proposal that will allow businesses to deduct their dividends to help alleviate the double taxation problem. I view this as a complement to corporate statutes that a statue. We had hearings last year so too deeply at this time. For now hell just say continue to believe the idea whether it applies fully or in some limited way that it can help and address the problems are trying to solve. I look forward to continuing the conversation as the process moves forward. Its important to note that while the tax rate has remained unchanged for decades the term among our foreign competitors has been to lower corporate rates making american businesses less competitive. Its not just a republican talking point, widely acknowledged on both sides of the aisle. Even former president bill clinton signed into law the rate increase of 35 argued the rate should not be lowered. I agree. Current business tax system in disparity with the u. S. Corporate rate that are for competitor corporate rates has created problems and distortions. For example, the Current System slows economically by impeding capital formation, hindering wage growth reducing productive capacity lowering the standard of living in the United States. Full of which directly harm middleclass families and individuals. Current system lowers returns on investment creating a bias against savings and investment. Centers the creation of welfare including the middle class. The Current System encourageS Corporations operations using debt rather than acuity. That increases risk particularly in times of economic weakness. The Current System giveS Corporations incentives to shifts assets begin like show property to the u. S. To lower tax jurisdictions. Contacts reform we need to address all of these problems and distortions and any others as well. We need to lower the Corporate Tax rate to relieve the burden of tax imposes on American Workers who according to many is a significant part of the Corporate Tax. We need to reduce the burden on those that are taxed those are limited liability companies, partnerships and escort corporations. We need to Fix International tax system so businesses can compete in the global marketplace without facing disadvantages. Each of these propositions is supported by people in both parties. Politics enter the equation the story sounds different. According to some, all republicans want to do is give tax breaks to the super rich. And have cushy portfolios for wall street bankers all at the expense of middleclass workers and families. Those do not align with reality. As noted in our hearing virtually all of the current tax reform ideas are helping the middleclass and lowincome families. Her chief goals and Business Tax Reform or to increase Economic Growth, create new jobs grow wages for employees of both large and Small Businesses, expand for all americans and improve standards of living for everyone in the United States. The proof is in the pudding as the Committee Works through the process with those goals in mind will be able to demonstrate why those in the middleclass should feel as though they have a stake in the discussion and how the ideas to reform the Current System will help. Lets keep in mind the status quo, establish Economic Growth and decrease workforce participation hasnt been doing the middleclass favors. The case for tax reform should be easy to make. I want to reiterate that this committee will be the starting point for any tax reform legislation considered in the senate. Continue to hear arguments about secret plans behind closed doo doors, this committee will consider tax reform through regular order. That applies to the drafting the reporting of any tax reform bills. I hope this process is bipartisan. As with individual tax reform theres areas of Business Tax Reform for thoughts and interest of both republicans and democrats overlap. There is Fertile Ground for bipartisan agreement and i hope we can take advantage of this opportunity together. I know my Ranking Member has broad objectives. I appreciate that. The fact that he fortis on tax reform proposals in the past with the singles amount that at the end of the day we should at least agree that the current tax system is broken and the current state of our economy should not be accepted as the new normal. I look forward to a discussion of these issues today as well as the acknowledgments and bipartisan agreement that it is from these matters. Now turn to senator for his opening remarks think mr. Chairman. Have to do a Little Committee happy so ill be brief. Before i get to todays hearing need to talk briefly about whats coming down the pike for this committee both here and on the floor. As i told you remarks im going to make now do not in any way reflect my admiration for you, our friendship, the fact that we just moved ahead on a very important chip bill. The Children Health insurance bill and i want to set up my comments about what happened last night. Last night the majority announced without consulting the minority to finance will hold a hearing on the Catholic Health care bill. I want to make clear this is an abomination of the process and abomination of the substance and and abomination of the history of this story committee. First rule, this bill is a prescription for suffering and disastrous consequences for millions of people. Second, the Budget Office has informed us that it will be several weeks at the very least before it can provide real estimates for the bill. This means the majority is going to charge ahead with the radical destruction transformation of American Healthcare with the American People in the dark. This bill will be a few [roll call] votes away from the president s desk it republicans in the senate do not have answers to the key got questions of whats going to happen to the premiums paid by the American People. Whats going to happen to the coverage. The proposition that a bill this destructive and farreaching can swing through the finance committee on a monday morning hit the senate for a day or two later makes a mockery of the legislative process that senator mccain so eloquently urged us to return to. This abomination stands in sharp contrast to what we been able to achieve with respect to the childrens Health Insurance program. What a sad commentary that when the committee are to be celebrating a big victory for millions of kids the Cassie Graham heller brill threatens the health care of millions of children and families. Second point reconciliation relies on secrecy, brute power and speed to have run purely partisan bills to the senate. Its a train wreck to do it on healthcare. We need to notice we start this hearing that leader mcconnell is committed to reconciliation round two on tax reform. When we went on the side of the area for colleagues working together in a bipartisan way as the chairman noted, ive written to full bipartisan bills. Leader mcconnell says will have another partisan bill. Another completely partisan bill with respect to tax reform. That too is a prescription for trouble the details that leak out of the big six meetings in my view suggests that what is underway is a nonprofit protestant and tax giveaway. The centerpiece could be a 2 trilliondollar loophole dealing with something called passthrough. Pastor status is supposed to be all about Small Businesses. The person who is running a cleaner or a restaurant, theres no question those Small Businesses fuel local economy, they need a boost in tax reform. But any tax chain that allows tax chiefs to abuse passengers by self declaring to avoid paying their fair sharesocial security taxes could be worse than whats on the tax today the data task through loophole bill becomes law would be Christmas Morning in america for the tax. It would make a mockery of the trunk that the rich are not going to gain at all with this plan. Is just one element of whats on offer. Bottom line for me is limited to this crucial discussion, its time for congress to take the lives out of the Corporate Tax rate in america. Many of the biggest corporations in the country employ armies of lawyers and accountants who know every single one of the tax tricks. They use them all to little down there tax rates to the low teens and single digits, even zero. That congress cannot. Big corporate rate cut with a plan to enshrine loopholes that letS Corporations off the hook for paying their fair share. That is in my view a surefire way to have a heavier burden on the middle class. I look forward to discussing this issues. As i indicate i need to be out for a few minutes. I look for to the discussion. Thank you. Some Committee Members have requested a public care to discuss details of the Graham Cassidy healthcare proposal. A hearing will allow members on both sides to get deeper into the policy and gain a better understanding of what the proposal is. So well have a hearing next week on this matter. I believe members will benefit from a public discussion and examination of these issues. Even the request that has been heard some members are still unsatisfied. Im not sure what else i can do to address every complaint. For today hearing is on the Business Tax Reform. And i hope we can focus the proceedings on that issue. Having said that, i like to welcome each of our witnesses to her hearing today. We all appreciate your willingness to testify and answer questions today. Hearing each of your perspectives on tax reform will be critical to our process. First will hear from the president of the Tax Foundation in d. C. For his worked for the past 25 years. Before joining the Tax Foundation you is director of tax and budget policy for a sound economy. He spent ten years at the Heritage Foundation is a fellow analyzing budget and tax policy. For that he started his career in chicago where he helped in the Harvard Institute in 84. He holds a degree in political science. Second, will hear from an Institute Fellow and director of Economic Policy initiatives. In 2010 and 2013 he led the urban brookings tax policy center. Prior to joining urban he served as a member of the president s council of economic advisers and acting director of the congressional Budget Office. He is taught at the Georgetown Public Policy Institute and the university of chicagos graduate school of business. He said his mathematics at Harvard College and received his phd. Next will hear from troy lewis, the immediate past chair of the Tax Executive Committee mr. Lewis currently teaches at Brigham Young university in utah. He is in practice as that manager member of lewis and associates cpa, llc a new talk. Is his masters in accounting bachelors in science. As a Certified Public Accountant and a chartered local management psychologists. Last but not least will hear from the founding president and ceo of the real estate roundtable he served since 1987. He also serves as chairman of the Real Estate Industry and information sharing and analysis a. He also served as cochairman of the Advisory Board of the Rand Corporation center for terrorism, Risk Management policy and was a Founding Member of the Steering Committee of the coalition to ensure against terrorism. He holds degrees from washington and Lee University school of law is a member of the Virginia Bar Association and the american bar association. I think each and all of you again for coming today. I look forward to hearing your remarks. Thank you mr. Chairman and Ranking Member, good to see. All members of the committee i commend you for taking on the challenge of reforming marcus business tax code. Especially the overhauling our Corporate Tax system. Most important thing you can do to boost Economic Growth, lift wages, create jobs and make the u. S. Economy more competitive Global Police overhaul the tax system. This suggests that the committee should have four priorities, when reformin