Robert Reich: Corporations Don’t Need a Tax Cut, So Why Is Obama Proposing One?

[marmar]

Published on Thursday, February 23, 2012 by Robert Reich
Corporations Don’t Need a Tax Cut, So Why Is Obama Proposing One?

by Robert Reich


The Obama administration is proposing to lower corporate taxes from the current 35 percent to 28 percent for most companies and to 25 percent for manufacturers.

The move is supposed to be “revenue neutral” – meaning the Administration is also proposing to close assorted corporate tax loopholes to offset the lost revenues. One such loophole allows corporations to park their earnings overseas where taxes are lower.

Why isn’t the White House just proposing to close the loopholes without reducing overall corporate tax rates? That would generate more tax revenue that could be used for, say, public schools.

It’s not as if corporations are hurting. Quite the contrary. American companies are booking higher profits than ever. They’re sitting on $2 trillion of cash they don’t know what to do with. .............(more)

The complete piece is at: http://www.commondreams.org/view/2012/02/23

[xchrom]

1. du rec. nt

[sharp_stick]

2. It's called politics

during the campaign season.

Obama proposes a tax cut and the pukes fall all over each other trying to explain why the Kenyan muslim hates America.

[davidwparker]

12. Right. This is my thought as well. To show them as the obstructionist which they are.

[CAPHAVOC]

3. Shhhh!

It is a tax hike. Don't tell.

[tabatha]

4. Because, it is not really.

It all comes out in the wash. Someone explained this last night on one of the MSNBC programs.

I am surprised Robert Reich was unaware of that.

[Dragonfli]

5. Good Move, lower the rate, close some smaller loopholes, starting proposal = budget neutral

It will only take a committee or two to take out the parts about closing loopholes for the biggest donors (on each side).

End result should be a lower corporate tax rate with most loopholes intact, excellent job, this will help to fill the Obama superpac coffers. That is all that matters now that we all love SuperPac money.

He is better than most Republicans at their own game while achieving more for his donors than they are likely to, he will likely win this thing.

[Doctor_J]

7. The Repukes will agree to the cut, block the loophole closure

(or come up with some others, or call loophole closures "tax increases&quot , and it will end up being another setback for working people.

Here is a good line from your post

achieving more for his donors than they are likely to

what a sad but true statement

[SpartanDem]

15. That bill would never make out of the Senate

[Doctor_J]

6. Trying to out-flank the Repukes on the right

Because it's worked so well up until now.

[flamingdem]

8. Is Robert Reich dumb?

Or does he just play dumb?

[grantcart]

9. Hard to tell sometimes

Maybe he just wants to maintain gadfly status.

[emulatorloo]

10. He likes attention, I think

[okieinpain]

11. mr. reich is right, but he is not running

for office.

[pansypoo53219]

13. IT'S A TRAP!

to kill loopholes. i got this 8 dimensional chess down pat.

[allan01]

14. re:Robert Reich: Corporations Don’t Need a Tax Cut, So Why Is Obama Proposing One?

What are these people smoking ??!!