GOP vs Democrats Corporate Tax Rate
The Republicans want a 25% tax rate and President Obama proposed a tax rate of 28%.
Both parties are up in arms with the looming election so nobody is getting along enough to pass anything by mutual agreement.
So for some reason the Republicans are not pleased with this. I guess that’s because their financial support comes from big corporations and when you are a bought and paid for politician you have to act like this is a problem.
Corporate tax benefits the less fortunate folks in this country but who cares about them/us right?
There are politicians who are so deeply entrenched in big business that the conflict of interest with politics is too obvious but they get elected anyway.
Hmmmm let me think… Mitt Romney, the Newt, etc. come to mind.
To be fair a tax rate cut can do some good
as far as keeping jobs at home… a tiny bit of good anyway but that is more than offset by losses in tax revenue.
Overseas manufacturing has labor costs that are so far below our minimum wage and still further below our union wages that we can never compete with them.
I have seen manufacturing in China first hand and American workers would never tolerate the 1$ an hour, long work hours and lack of overtime pay, etc. I honestly don’t know how we have any manufacturing in this country unless there are huge tax breaks or some incentives.
The only factor is shipping costs for large items can keep manufacturing home.
In cases where the item would cost too much to ship from China or India etc.
I mean a low cost item with large weight/size and shipping cost.
The Japanese had a higher tax rate
for corporations just reduced their rate to 36.8 percent on April 1 so it is lower than that of the USA. The current corporate tax rate for America is 39.2 percent.
Joe Biden has an idea for a global minimum tax.
Here is what he says about that in an address to the president of a manufacturing company in Iowa:
“For years, American manufacturers have faced one of the highest tax rates in the world. We want to reduce that by over 20%.
We want to drop the rate, particularly, for high-tech manufacturers like you, Mr. President, even further than the 20%.
We want to create a global minimum tax, because American taxpayers shouldn’t be providing a larger subsidy for investing abroad than investing at home.”
Here’s a chance to laugh about taxes.