Over the summer, President Obama called companies who are trying to minimize their taxes “unpatriotic.” A Heritage Foundation economist had a clever retort in the Morning Consult:

David Burton, a senior fellow in economic policy at the Washington-based Heritage Foundation, said another way to look at the “unpatriotic” argument is to question the patriotism “of those who keep the U.S. tax rates so high” since they’re maintaining the highest corporate tax rate among industrialized countries.

Heritage’s Curtis Dubay points out that the best way to end these “inversions” is to reduce the business tax rate and move to a territorial tax system that doesn’t penalize American firms with overseas operations.

What do you think the corporate tax rate should be?

Comments (1)

Richard O’Neil - October 11, 2014

Corporations do not pay taxes their customers do through the pricing necessary to recover cost and make a reasonable return on investment. Therefore the corporate rate should be zero. That would reduce corporate costs, including eliminating the corporate tax department, and would have the ultimate effect of reducing prices to the consumer. Carry that one step forward and eliminate all income taxes and replace with the “Fair Tax”.

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