Many American companies have social-responsibility committees that are very popular with socially conscious directors. They commit time, effort and money to enhancing the quality of life in their local communities, as well as nationally and globally. By not punishing these companies with corporate-tax rates that no other country in the world sees as reasonable, we not only contribute to their financial well-being, but we also greatly enhance their ability to have a positive effect on social problems here in the United States.
There is absolutely no need for animosity between the government and business. When businesses are successful, the reservoirs from which taxes are paid are much larger, resulting in more money for the government even though tax rates would be lower. If we enact policies that allow American companies to bring back hundreds of billions of dollars in corporate profits to our country without punitive taxation, the upside would be considerably greater than any negative consequences. This is not complex economic theory; it's common sense.
As the president and Congress consider enacting regulations to limit or eliminate future inversion deals, I hope they take the time to talk to a wide spectrum of business leaders about ways to create a fertile and friendly atmosphere for innovation and growth. It will require more than just talk to persuade American companies to stay or return to our shores. Instead of just talking about fixing our taxation woes, we need to just do it. And I hope grateful companies will feel an obligation to do even more to contribute to the well-being of the citizens of our nation.