Wednesday, May 17, 2017

Socialism Believes All Problems Can Be Solved By Higher Taxes

Corporations rarely pay their fair share. They setup foreign entities and accumulate trillions of dollar overseas to ensure it doesn't happen often. Corporate inversions, the practice of relocating a corporation's legal domicile to a lower-tax nation, or tax haven, usually while retaining its material operations in its higher-tax country of origin, have become common place since their origination in the early 1980's. They do this US Corporate tax rate is not competitive with the rest of the world!, but people believe what they want to see.

And the games goes on until it breaks.  The call for taxes will likely be ignored or overwhelmed by the desire to save things the way they are (status quo). Corporations move jobs overseas because the US tax rate is not competitive. Of course, the majority is shocked when it happens, blaming the corporations rather than their representatives.

Headline: Senator Warren: The corporate tax rate is not too high

President Trump’s tax blueprint released last month by Treasury Secretary Steven Mnuchin and White House chief economic adviser Gary Cohn includes a significant cut in the corporate tax rate to 15% from 35%, which is the highest rate among the Organization for Economic Cooperation and Development (OECD) countries.

But Senator Elizabeth Warren (D-Mass.) said the current corporate tax rate is not too high.

There have been long-standing efforts from both sides of the aisle to reduce corporate taxes, including from President Barack Obama, particularly since the US has not shifted its tax system in 30 years while countries around the world have. But Warren said it’s about corporations paying their fair share.



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