The CHAIRMAN. It is now in order to consider amendment No. 15 printed in part B of House Report 109-175.
AMENDMENT NO. 15 OFFERED BY MR. BLUNT
Mr. BLUNT. Mr. Chairman, I offer an amendment.
The CHAIRMAN. The Clerk will designate the amendment.
The text of the amendment is as follows:
Amendment No. 15 offered by Mr. Blunt:
In subtitle B of title XI, redesignate sections 1111 through 1126 as sections 1121 through 1136, respectively.
At the end of subtitle A of title XI, add the following new section:
SEC. 1111. STATEMENT OF POLICY RELATING TO INTERNATIONAL TAXATION.
(a) Policy.--It is the policy of the United States to use the voice, vote, and influence of the United States to vigorously oppose any international or global tax that is or may be considered or promoted by the United Nations, its specialized or affiliated agencies, its Member States, or United Nations-recognized nongovernmental organizations.
(b) Efforts.--United States representatives at the United Nations shall--
(1) use the voice, vote, and influence of the United States to vigorously oppose any effort by the United Nations or any of its specialized or affiliated agencies to fund, approve, advocate, or promote any proposal concerning the imposition of a tax or fee on any United States person in order to raise revenue for the United Nations or any such agency; and
(2) declare that a United States person shall not be subject to any international tax and shall not be required to pay such tax if such tax is levied against such person.
(c) Exception.--The policy described in subsection (a) shall not apply to fees for publications or other kinds of fees that are not tantamount to a tax on a United States person.
(d) Person Defined.--For purposes of this section, the term ``person'' has the meaning given such term in section 7701(a)(1) of the Internal Revenue Code of 1986 (26 U.S.C. 7701(a)(1)).
The CHAIRMAN. Pursuant to House Resolution 365, the gentleman from Missouri (Mr. Blunt) and a Member opposed each will control 15 minutes.
The Chair recognizes the gentleman from Missouri (Mr. Blunt).
Mr. BLUNT. Mr. Chairman, I yield myself such time as I may consume.
Mr. Chairman, what this amendment does is it opposes the creation of any international or global tax by the U.N. or its affiliate agencies. Global taxes imposed by leaders of foreign governments on United States citizens are clearly at odds with the Constitution and the tradition of our country. The Constitution says: ``The Congress shall have the power to lay and collect taxes, duties, imposts, and excises.'' It is our responsibility as the elected representatives of the people to ensure that no outside entity can ever collect revenue directly from U.S. citizens.
This concept of global taxation is not as unimaginable as it may seem. In fact, it is being actively advocated now. A new book, ``Innovative Sources of Development Finance,'' which is widely cited by U.N. bureaucrats, raises the specter of such taxes. Some estimates suggest that if fully implemented, the taxes could levy as much as $13 trillion a year. According to the book I just cited and the staffers at the U.N., the global taxation project is being coordinated by the U.N. Department of Economic and Social Affairs and the U.N. University's World Institute for Development Economics. Even a figure as prominent as George Soros supports global taxation on the American people, stating support recently for an international tax ``not only on currency transactions, but also on all financial transactions.''
Let me just give my colleagues a few examples, Mr. Chairman. The U.N. Convention on the Law of the Sea, which the United States Senate has wisely refused to ratify for 25 years, contains provisions requiring U.S. companies that would eventually engage in deep sea mineral extraction within our own coastal waters to pay a ``mandatory royalty'' to an international entity.
Shortly before this year's G-8 Summit in Scotland, several European leaders, including President Jacques Chirac of France, suggested the creation of an ``international airline tax'' that would raise revenue from airline passengers to help finance global development projects.
In the most disturbing effort of all, this September the U.N. plans to hold a plenary meeting to close a $65 billion annual gap in its budget. A senior U.N. staffer to Kofi Annan recently suggested the most effective way to close this gap would be to generate revenue through a global tax.
As these examples clearly show, the international community through the U.N. could very easily move in this direction.
This amendment, Mr. Chairman, just says that no one representing our country, no one spending money on behalf of our country could advocate or support in any way taxes levied in these ways, and I think it is an important addition to the bill.
Mr. Chairman, I reserve the balance of my time.
The CHAIRMAN. Does any Member seek time in opposition to the Blunt amendment?
Mr. BLUNT. Mr. Chairman, I yield 1 minute to my friend, the gentleman from Indiana (Mr. Sodrel).
Mr. SODREL. Mr. Chairman, I thank the gentleman from Missouri for yielding me this time.
The American people have given the United States Congress the sole authority to levy taxes for the support of our national government. They have not given any constitutional authorization to any global organization to tax them, either directly or indirectly. It is important that we make perfectly clear to the United Nations that any effort towards international or global taxation is entirely unacceptable.
We are currently paying almost 25 percent of the U.N.'s $2 billion annual budget. Many of my constituents already question whether that money is well spent. The Oil-For-Food questions have done little to instill confidence in the U.N. on the part of the American taxpayer.
I urge my colleagues to support this amendment. We do not want any misunderstanding on the part of the U.N. as to our position on the issue of international or global taxation.
I thank the gentleman for this amendment.
Mr. BLUNT. Mr. Chairman, I yield 1 minute to the gentleman from Indiana (Mr. Pence).
(Mr. PENCE asked and was given permission to revise and extend his remarks.)
Mr. PENCE. Mr. Chairman, I thank the gentleman for yielding me this time; and more importantly, I thank him for his leadership on the Blunt amendment. Sometimes one has to go to Missouri to state the obvious. The Blunt amendment does just that, but it does it with real teeth.
Like many of the reforms in this legislation that we will seek to move today, the Blunt amendment not only requires every representative of the United States on every U.N. body to oppose the creation of an international tax, but it also clearly states that United States citizens and corporations are exempt from any taxation that is imposed on the United Nations.
This is the kind of show-me clarity that the American people have come to expect from Missourans. I am grateful for the Blunt amendment. What you tax you get less of. What you subsidize you get more of. We have subsidized the United Nations as an experiment in a world forum, but we must not permit the United Nations to become an entity of taxation on the American people or for our part the world.
Mr. BLUNT. Mr. Chairman, we have no other speakers. I look forward to this amendment being included in the legislation, and I am certainly grateful to our good friend, the gentleman from Illinois (Chairman Hyde), for bringing this legislation to the floor.
Mr. Chairman, I yield back the balance of my time.
The CHAIRMAN. The question is on the amendment offered by the gentleman from Missouri (Mr. Blunt).
The amendment was agreed to.
Thanks very much.
Say did you happen to take a look at the rest of that bill? The UN and UN agencies are making out like bandits.