We are losing to Communist China, Cuba, Denmark, Finland, France, Norway, Sweden on taxes.Posted by Andrew Moylan - January 05, 2007
Jacques Chirac has proposed cutting France's corporate tax rate from 33% to 20% over a five-year period.
With all the tax-cutting that has happened in this country over the last six years, none of it has come on the corporate side of the ledger. Corporate taxes are feel-good politics, but they are really no different than personal income taxes. Economic orthodoxy says that tax rates are ultimately borne by individuals, meaning that you pay higher prices for the products you buy when corporate tax rates are high. The "evil corporations" aren't taking the hit, you are. If France has figured that out, why haven't we?
By the way, here's a selection of just a few of the countries that have lower corporate tax rates than we do...
The only ones higher?
Something is very, very wrong when the U.S. has higher tax rates than two Communist countries and a host of Socialist nations.
Thoughts? Add Comment -
Janus said on Jan 05 2007 at 9:58am
These other countries can probably afford to cut their business tax rates a little because they make sure that the fat cats who own and run them pay their fair of taxes in other areas, unlike in the US where Congress has been plumping up the already bloated wallets of the super-rich. Thank goodness fiscal responsibility is coming back to Washington!!!
Andrew Moylan said on Jan 05 2007 at 10:18am
Here we go again.
First of all, as a matter of principle, Congress did not "give" anybody money that wasn't theirs to begin with. A tax cut simply allows one to keep the money they earned in the first place.
Second, on the technical point, the rich are indeed paying their fair share, and at record levels. The most recent IRS data (which can be found on our website here http://www.ntu.org/main/page.php?PageID=6) shows that the top 5% of taxpayers accounted for 57.13% of all income taxes paid. That is a record level unmatched even at the height of the dot-com boom in 2000 with the higher 39.6% rate under Clinton, where the top 5% paid 56.47% of all income taxes.
The "skinny cats," people making less than $60,041 per year, represent the bottom 75% of income earners. They pay a whopping 15.14% of all income taxes.
I'm sorry, but I don't think the class-warfare arguments have much merit when you look at the numbers.
anon said on Jan 05 2007 at 7:22pm
adding another column stating the rates in those countries and an email bombing campaign to make sure everyone sees them would be great
Rattrap said on Jan 07 2007 at 3:07pm
Janus you need to stop smoking that stuff and fact check BEFORE you comment
Janus said on Jan 11 2007 at 2:20pm
The rich should pay more. They're the ones who benefit most from government, whether directly -- e.g. government subsidies and contracts -- or indirectly, they use the roads and receive the psychic benefit of knowing that government power will be used to protect their property and interests. Poor and working people don't have valuable and property like the rich do. The rich know if there's some kind of problem that the government will keep all of their valuables safe.
The rich should also pay more because they have traditionally used the power of government to keep working people from getting ahead -- making it harder for people to unionize or get their fair share of America's economic prosperity.
I think the increasing "wealth gap" shows that government could do much more to improve our society -- health care and education are the largest and most important needs -- so that working people can help themselves and don't have to be exploited by the super wealthy in this country.