The world’s largest medical technology company, Medtronic, has announced plans to move its corporate headquarters from Minneapolis to Dublin, Ireland. With U.S. corporate tax rate at a mighty 35 percent, one of the highest in the world, it is no wonder Medtronic would rather operate from Ireland, where the rate is only 12.5 percent.
It's a 979-page plan that, among other things, lowers marginal income tax rates, lowers the corporate tax rate, increases the standard deduction for individual and married couples, phases out certain tax breaks, consolidates other tax breaks, and reforms retirement savings plans.
Over the last 25 years, every country in the developed world has made significant strides in lowering the corporate tax rate - except for the United States.
The House-Senate budget conference would do a lot to address the corporate income tax - one of the ripest areas of policy for reform that would help economic growth at all ends of the income spectrum. It's messy, it's inefficient, and it's the most economically-harmful tax of all.
I’m very leery of corporate tax reform, largely because I don’t think there are enough genuine loopholes on the business side of the tax code to finance a meaningful reduction in the corporate tax rate. That leads me to worry that politicians might try to “pay for” lower rates by forcing companies to overstate their income.
With the first quarter now over, we expect that most of the fiscal cliff-driven dividend cuts have now taken place, which means the number of companies cutting their dividends each month will go back to being an indication of the relative health of the U.S. economy, much as it was prior to December 2012.
The legislators in Washington figure that a $25 tax on bicycles that cost more than $500 should garner about a million bucks for roads.
I’m amazed that anyone believes Obama isn’t going to tax the middle class as well. The simple reality is that there aren’t enough rich people to finance big government.
Before the election ballots were fully counted last week, equity markets were sending President Obama a blunt vote of no confidence. Forget all the political pundits who were heralding his narrow popular vote victory as a mandate for his soak-the-rich tax agenda. The sour message from the investment community that fuels our economy spoke volumes about a fundamentally status quo election.
Are we there yet? This was the question I asked myself 30 minutes into the second 90 minute presidential debate between Mitt Romney and President Obama. After getting shellacked badly in the first debate, Obama seemed to forget to take his happy pills the second time around and thought assuming the role of the angry, robot would make him the winner in the second debate. Well it didn’t!
President Obama presented himself to the nation in 2008 as something new -- a change agent who would bring fresh ideas to our national challenges and solve problems in a post-partisan, unifying fashion.
WASHINGTON -- No other issue is paralyzing the U.S. economy more than the unsettled question of where taxes are headed in the years to come.That question, raised by a tidal wave of expiring tax cuts that will hit most of us on Jan. 1, is the chief cause of the uncertainty that has swept through our economy, stalling business expansion, capital investment and job creation.