Raising taxes on U.S. corporations that do business abroad – as some in Washington, D.C. have suggested – won’t protect American jobs. In a global marketplace, companies need to be able to compete wherever their customers are. Successful U.S. companies end up expanding payrolls both at home and abroad.
The 2012/13 budget has given a boost to various sectors and taken its fair share of casualties. The Judiciary, the National Assembly, women and children are some of the main winners. On the flip side, the Independent Electoral and Boundaries Commission, landlords, and tenants, are some of the losers in the newly tabled fiscal plan.
President Barack Obama wants to drop the Corporate Tax rate from 35% to 28% and move manufacturing to a special category, with a 25% rate. Reuters columnist David Cay Johnston warns this could cause a rush of “manufacturers” looking to take advantage of the lower rate.
Goldman Sachs, General Electric, Sears … over 2,700 companies are withholding income from their employees but instead of sending the money to the government they’re keeping it for themselves. And it’s perfectly legal! Reuters columnist David Cay Johnston reveals how your boss may be pocketing your money – Any opinions expressed here are David Cay Johnston’s own. (April 12, 2012)
Large corporations are privy to tax laws that most small-business owners are not, and the U.S. is at a crucial fiscal juncture where things need to change. David Cay Johnston breaks down Corporate Tax policy in this edition of Decoder.