President Obama open to lowering corporate tax rate

[Better Believe It]

Obama open to lowering corporate tax rate
By James Politi in Washington
October 4, 2010

Barack Obama signalled he was open to lowering the US corporate tax rate from its level of 35 per cent, amid speculation that the administration could seek broad-based reform of the tax code as early as next year.

At a meeting of his economic recovery advisory board on Monday, the president said: “We would be very interested in finding ways to lower the corporate tax rate so that companies that are operating overseas can operate effectively and aren’t put at a competitive disadvantage.”

Some insiders believe there is scope for significant reform of the tax code, potentially echoing landmark legislation enacted in 1986. On Monday, Mr Obama said he was interested in a tax overhaul that would reduce business taxes. “That is an area where we’d like to collaborate,” he said.

Any tax reform proposals would probably take their lead from the bipartisan commission on fiscal responsibility, which will release its conclusions on ways to cut the deficit on December 1.

Read the full article at:

http://www.ft.com/cms/s/0/9c5105e8-d004-11df-bb9e-00144feab49a.html

[Greyhound]

1. K&R for more of that "change".

'Cause the taxes they don't pay are the real problem.
:eyes:
:kick: & R

[joeybee12]

6. Yeah, and they dont have enough profits to hide overseas...n/t

[fascisthunter]

2. holy shit! Are you fucking kidding????

stupid

[xchrom]

3. Oy. Nt

[Octafish]

4. Trickle Down

And it's a warm, yellow rain that stinks.

[Robb]

5. When leaving out sections of an article, it is customary to note as much.

The word "(snip)" between your second and third excerpted paragraphs would have gone a long way toward informing your readers.

It is especially important, for example, when the omitted paragraph begins with the word "But..." :hi:

...But Mr Obama told the group, which is chaired by Paul Volcker, former Federal Reserve chairman, and includes Jeffrey Immelt, chief executive of General Electric, and Jim Owens, chief executive of Caterpillar, that any solution would have to be “revenue neutral”.

“If there are ideas whereby we can lower corporate tax rates in a way that does not massively add to our deficit, but instead revolves around tax loopholes . . . that is something that we would be very interested in and we think could eliminate uncertainty,” Mr Obama said.....

I have no problem with a "revenue neutral" tax rate cut for corporations.

[TheKentuckian]

7. What they need to do is actually pay some taxes.

The rate doesn't matter if it is 100% if nobody pays it. I want more revenue from the predator class so if lowering the rate puts us in a position to actually collect more than Kool and the Gang, if not then stop coddling the crooks.

[Robb]

11. You're in luck.

That's http://www.moneycontrol.com/news/business/obama-says-looking-for-ways-to-cut-corporate-taxes_488778.html">apparently the idea:

(snip)

..."If there are ideas whereby we can lower corporate tax rates in a way that does not massively add to our deficit, but instead revolves around tax loopholes... that is something that we would be very interested in and we think could eliminate uncertainty," Obama said.

Obama's tax advisors and many tax experts say that because of deductions, credits and loopholes in the tax code, few corporations actually pay the full 35%....

[Better Believe It]

12. Congress will only pass legislation which actually reduces total corporate taxes that are paid.

You don't think we'll have an anti-corporate and pro-worker Congress, do you?

[girl gone mad]

8. revenue neutral as in..

they hope to make up for the loss of revenue by either raising other taxes or cutting spending.

My guess is that they will propose a VAT tax and/or push for more cuts to domestic programs.

[Better Believe It]

10. They will raise taxes. On working people. With a national sales or

value added sales tax.

[Better Believe It]

9. OK

"(Snip)" four paragaphs were ommitted from the eight paragraph article.

[Lydia Leftcoast]

13. A company's costs of doing business are already paid with pre-tax income

The pressure for lower taxes comes from

1) Major shareholders, who have become accustomed to ever-rising dividends

2) Executives, who want to make sure that there's enough money left over for their bonuses.

Hiring new people actually REDUCES a company's taxes, as do upgrading equipment, buying raw materials or merchandise inventory, or leasing or building buildings.

A lot of people think that companies are taxed like individuals (all income minus a few measly deductions). They aren't. They get a far better deal.

[grahamhgreen]

14. you cant lower taxes when your running a deficit - all your doing is borrowing money.