Today in a speech with Mitt Romney, Paul Ryan has again touted Canada's low corporate tax rate.
Paul Ryan has repeatedly praised the Canadian conservative government's decision to lower their corporate rate to 15 per cent, pointing to the U.S. "statutory" rate of 35 per cent (not the "effective" tax rate) as increasingly uncompetitive.
Ryan doesn't mention that in Canada, the corporate tax cuts that were supposed to create jobs, have instead only allowed companies to hoard cash and pay larger CEO salaries.
Over a quarter century ago, in 1984, the Washington, D.C.- based Citizens
for Tax Justice released its first in-depth report on how much America’s
top profitable corporations were actually paying in taxes.
America’s top companies, this initial study found, were paying only 14.1
percent of their profits in taxes, less than a third of the corporate tax rate
then in effect.
The last Citizens for Tax Justice tax report says
America’s top corporations are now getting what essentially amounts to a 50
percent discount off their tax bills.
If Mitt Romney and Paul Ryan had their way, corporations would pay NO taxes and their CEOs would pay NO capital gains taxes either, because both Romney and Ryan earn a great deal off money from corporations paying capital gains.
Read: How Corporate Tax Dodgers (like Mitt Romney) Hoarded $2 Trillion
The Romney Lying Machine as described by Robert Reich, rolls on shamelessly. The corporate rate cuts in my country of Canada have done zero to create jobs here. The only ones to benefit are the CEOs of large corporations. They have used these cuts to pay themselves obscene salaries or create jobs in Asia. There is so much spare cash that even the Governor of the Bank of Canada (who is no socialist) has asked these people to stop hoarding this money.
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