Congress has a bill ready to cut the corporate tax rate to 25 percent as a measure in combating US firms merging with overseas companies to solely lower their tax bill.

“At 35 percent, US corporations are at a major competitive disadvantage,” says Elaine Kamarck, a co-chairwoman of the bi-partisan group Reforming America’s Taxes Equitably (RATE).

Her group, lobbying to lower the corporate rate to 25 percent, is pushing a tax-reform proposal pending in the House by Ways and Means Committee Chairman Dave Camp.

The tax reform is essential to creating jobs for young Americans seeking to begin their adult lives, Camp (R-MI) said in a statement.

But some proponents of the measure are saying even a 25-percent rate is far too high and won’t stop the bleeding of US firms’ revenue to more tax-friendly foreign enclaves.

Kamarck, a former Clinton administration official, said the difference in tax rates between the US and other major trading partners is dangerous for the country. She notes that Canada — which until recently had a 21 percent rate — has dropped it to 16.5 percent.

“We’re talking about a major trading partner that is much more competitive,” Kamarck warned. “And if we don’t fix this, we’ll have more tax inversions, more corporations moving their headquarters elsewhere, taking lots of jobs with them and hurting the economies of American cities.”

And less tax revenue from the proposed 28 percent cut from a rate of 35 percent to a rate of 25 percent.

“Lowering the corporate tax rate from 35 percent to 25 percent not only would increase America’s ability to compete internationally, but would also ensure that American corporations have more resources here in the United States to invest, hire and grow their businesses,” according to a committee tax reform memo.

Proponents of the 25 percent rate say it would add 581,000 jobs annually and increase GDP growth by 1 percent.