The Mudcat Café TM
Thread #119021   Message #2579980
Posted By: Sawzaw
02-Mar-09 - 11:51 PM
Thread Name: BS: Obama Goes For Broke
Subject: RE: BS: Obama Goes For Broke
Well I don't see no hands up in the air with the answer.

I just need somebody to educate me on how Obama is going to collect an extra Trillion from the top 2% of tax payers to finance his socialist agenda.

It does not sound workable to me but I will remain open minded on the matter.

PS:

The DJI is now in the shitter due to Obama's Budget proposals.

It is back down to the Clinton era, pre dot com bubble levels.

Corporations will have to evacuate the US to make a profit and shift all their jobs offshore. This is because of a more favorable labor market (read non union) and lower corporate income tax rates.

November 15, 2005
The U.S. Corporate Income Tax System: Once a World Leader, Now A Millstone Around the Neck of American Business

by Chris Atkins and Scott A. Hodge

Special Report No. 136

Executive Summary
In the Tax Reform Act of 1986 (TRA'86) the U.S. Congress lowered the top corporate income tax rate from 46 percent to 34 percent, the largest reduction since the tax was enacted in 1909. This change, along with an earlier move in the United Kingdom, started a wave of corporate income tax reduction worldwide.

One of the ironies of tax policy during the Bush presidency is that five years of tax-cutting legislation have left the corporate income tax rate unchanged. Meanwhile, another wave of corporate income tax reduction has swept around the world and is still underway. The United States is not the leader this time around. In fact, the U.S. is lagging behind and now has the highest combined statutory corporate income tax rate among OECD countries.

A review of corporate tax policies in the OECD countries reinforces a theme that is well developed in the economic literature: a nation will not attract new and expanded business and its attendant job creation if its corporate income tax is significantly higher than it is in comparable nations. Therefore, as the U.S. contemplates fundamental tax reform, one of the major goals should be a lower corporate income tax rate.

The President's Advisory Panel on Federal Tax Reform has done just that in its new report, but possibly with an overly modest rate cut. The panel suggested a 31.5 percent top rate in one plan and a 30 percent top rate in an alternative plan. Both plans would improve the U.S. worldwide ranking, but the U.S. would still be taxing corporate income at a rate well above the OECD average. Lawmakers should consider reducing the federal rate to 25 percent which, when coupled with state corporate income taxes, would almost bring the U.S. rate down to the OECD average of 29.2 percent.