Wednesday, August 27, 2014
Big business lies about US corp taxes
You've heard the regressive arguments that big companies just have to engage in inversion to be globally competitive. That the US corporate tax rate is way higher than elsewhere so they have no choice. According to Sorkin and his source this is complete bullshit. While it's true that the nominal US corp tax rate is 35%, few if any corps actually pay that rate. According to the Government Accountability Office corps on average paid 12.6%, which is actually significantly lower than the rates in the countries to which they want to run. In fact, the same corps that lie about their actual tax rate don't want to change the US tax code because of all the loopholes that support their low rate.