Rep. H. John Heinz, (R. Pa.) revealed today he has written to President Ford urging his support of an amendment aimed at the Arab boycott of Israel which the Senate Finance Committee has incorporated into the Tax Reform Bill. The amendment would deny tax benefits to those corporations which knowingly discriminate against American citizens and companies for boycott-related reasons.
In his letter to Ford. Heinz noted that the Department of Commerce figures show that since the 1973 Arab oil embargo compliance with boycott requests has increased dramatically. “Since the temptation to go along with the boycott is in most cases economic rather than moral there would be justice in legislating major tax disincentives for compliance.” he said.
The House and Senate have been holding hearings on the boycott situation and are considering toughening the Export Administration Act in an attempt to solve the problem. But Heinz voiced the fear that Congress would not report a bill this year and urged the President to endorse the Senate Finance Committee’s version. “Not only does compliance with boycott related requests hurt our relations with allies such as Israel. but it has already begun to intrude into our domestic affairs.” Heinz declared in his letter. “We cannot allow another country to pit state against state. American against American. Christian against Jew.”
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