Paul to battle GOP on infrastructure

Sen. Rand Paul (R-Ky.) told a GOP group Wednesday that he will battle with fellow Republicans to pass tens of billions of dollars in infrastructure spending via a bipartisan tax repatriation bill.

He estimates that allowing corporations to bring overseas profits back into the country at a reduced tax rate of 5 percent could generate between $30 billion and $60 billion in the first year alone.

{mosads}Paul believes he can work out a deal with Sen. Barbara Boxer (Calif.), the ranking Democrat on the Environment and Public Works Committee, that would give corporations a five-year window to bring their profits back.

“The No. 1 issue I have that I’m going to try to do in the next couple months, I’m working with Barbara Boxer, we’re very close to getting a bill written that will reduce the tax to bring that money home and put the money, designate it for the highway fund,” he told a gathering of The Ripon Society at the Capitol Hill Club.

He predicted 15 Democrats would sign onto the legislation.

Paul likely faces the staunchest opposition from fellow Republicans who want all the revenues from a repatriation program to offset the costs of lowering tax rates.

“My biggest opposition right now is actually Republicans,” he said. “They want repatriation, lowering that tax, to be part of overall permanent tax reform.

“Good luck getting the president to sign it and good luck getting enough Democrats to do a tax reform that’s of any value,” he said.
 
He argued that Republicans need to be able to point to accomplishments after controlling the Senate and the House for the first time since 2006 if they are to have a strong chance of winning the White House next year.
 
During the fall campaign, Paul said he would press Senate Majority Leader Mitch McConnell (R-Ky.) to put a tax repatriation bill on the floor at the start of the new Congress. McConnell opted instead to go with a measure approving the Keystone XL pipeline, which has strong bipartisan support.
 
Paul expressed hope he and Boxer would unveil a bill within a week.
 
He said when Congress created a tax discount for overseas profits in 2005 it collected $30 billion in new revenue in the first year.
 
“Now there’s twice as much money overseas,” he said.