Manchin Rejects Corporate Tax Hike

[Fueri]

And their plan to keep companies from fleeing if they do raise taxes is to ask other countries to implement minimum tax rates.

So their plan is to ask countries to intentionally discourage foreign investment and the resultant growth of their own economies so we can jack taxes on companies here.

lol. you can't make this shit up. This would be the dumbest thing out of the Biden administration so far if they hadn't repealed Remain in Mexico, which will be a tough one to beat.....

That's not really the issue.

The Bottom Line
There's been much debate—particularly in the U.S. with a historically corporate tax-friendly Republican party in power—over whether or not a lower corporate tax rate spurs economic growth. While the impact of the TCJA on the overall U.S. economy won't be known for some time, it is likely that U.S. corporations will continue to park money in tax-free countries such as Bermuda, the Bahamas, and the Cayman Islands even as they create jobs in the U.S.

How the U.S. Compares
With the Tax Cuts and Jobs Act (TCJA) of 2017, the U.S. corporate tax has been slashed from 40%—the second highest in the world as of 2017—to 21% in 2018, below the global corporate tax rate average of 23.79%. The decrease in the U.S. corporate tax rate is one of the most dramatic decreases in any country since the beginning of the 21st century. Only Kuwait, which decreased its corporate tax rate from 55% to 15% in 2009, had a bigger percentage change.


In contrast, it took Canada nine years to slowly decrease its corporate tax rate from 36.6% in 2003 to 26.5%. Japan also slowly decreased its corporate tax rate from 42% in 2003 to 30.62% in 2019.


The Bottom Line
There's been much debate—particularly in the U.S. with a historically corporate tax-friendly Republican party in power—over whether or not a lower corporate tax rate spurs economic growth. While the impact of the TCJA on the overall U.S. economy won't be known for some time, it is likely that U.S. corporations will continue to park money in tax-free countries such as Bermuda, the Bahamas, and the Cayman Islands even as they create jobs in the U.S.

Countries with the Highest & Lowest Corporate Tax Rates (investopedia.com)

That is, EVEN WITH THE MCCONNELL TRUMP CORP TAX CUT corps have every incentive to keep cash offshore. I'd agree with Manchin that 28% is still probably high to keep corp's from having incentives to locate their actual office/production sites elsewhere. But it's a totally seperate issue as to whether we should penalize corporations for keeping cash in save havens unless safe havens cease being tax shelters.

And, yet that's what they're peddling, as Biden's proposed increase will move the US tax rate to near the top of major economies.

The result of that it obvious, even to Biden, apparently.

Yellen Pushes for Global Minimum Tax Rate on Multinational Corporations

Treasury Secretary Janet Yellen argued for a global minimum corporate tax rate, as she made the case for President Biden’s $2.3 trillion infrastructure proposal ahead of virtual meetings with global counterparts.

www.wsj.com

 

[JWBooth]

Well, Joe's not getting his 21 - 28% tax hike. Manchin should just change parties and caucus with the GOP.

Manchin rejects Biden's corporate tax hike

Sen. Joe Manchin said Monday that he does not support President Biden's proposed tax increases on corporations as part of a nearly $2.3 trillion spending proposal, potentially dealing a fatal blow to a key revenue raiser included in the infrastructure initiative.

www.foxbusiness.com

Good

 

[JWBooth]

Fed printers go brrrrr

 

[kaz]

Excellent. Manchin is more concerned about keeping the economy strong than virtue signaling.

Not really. Manchin asked for the corporate tax rate to go up to 25% and for the other three percent to be in tax increases on the rich. The economy would still be hit with the same devastating tax hikes during a global pandemic. People have to stop believing this guy is a moderate. His voting record proves otherwise

 

[bendog]

And their plan to keep companies from fleeing if they do raise taxes is to ask other countries to implement minimum tax rates.

So their plan is to ask countries to intentionally discourage foreign investment and the resultant growth of their own economies so we can jack taxes on companies here.

lol. you can't make this shit up. This would be the dumbest thing out of the Biden administration so far if they hadn't repealed Remain in Mexico, which will be a tough one to beat.....

That's not really the issue.

The Bottom Line
There's been much debate—particularly in the U.S. with a historically corporate tax-friendly Republican party in power—over whether or not a lower corporate tax rate spurs economic growth. While the impact of the TCJA on the overall U.S. economy won't be known for some time, it is likely that U.S. corporations will continue to park money in tax-free countries such as Bermuda, the Bahamas, and the Cayman Islands even as they create jobs in the U.S.

How the U.S. Compares
With the Tax Cuts and Jobs Act (TCJA) of 2017, the U.S. corporate tax has been slashed from 40%—the second highest in the world as of 2017—to 21% in 2018, below the global corporate tax rate average of 23.79%. The decrease in the U.S. corporate tax rate is one of the most dramatic decreases in any country since the beginning of the 21st century. Only Kuwait, which decreased its corporate tax rate from 55% to 15% in 2009, had a bigger percentage change.


In contrast, it took Canada nine years to slowly decrease its corporate tax rate from 36.6% in 2003 to 26.5%. Japan also slowly decreased its corporate tax rate from 42% in 2003 to 30.62% in 2019.


The Bottom Line
There's been much debate—particularly in the U.S. with a historically corporate tax-friendly Republican party in power—over whether or not a lower corporate tax rate spurs economic growth. While the impact of the TCJA on the overall U.S. economy won't be known for some time, it is likely that U.S. corporations will continue to park money in tax-free countries such as Bermuda, the Bahamas, and the Cayman Islands even as they create jobs in the U.S.

Countries with the Highest & Lowest Corporate Tax Rates (investopedia.com)

That is, EVEN WITH THE MCCONNELL TRUMP CORP TAX CUT corps have every incentive to keep cash offshore. I'd agree with Manchin that 28% is still probably high to keep corp's from having incentives to locate their actual office/production sites elsewhere. But it's a totally seperate issue as to whether we should penalize corporations for keeping cash in save havens unless safe havens cease being tax shelters.

And, yet that's what they're peddling, as Biden's proposed increase will move the US tax rate to near the top of major economies.

The result of that it obvious, even to Biden, apparently.

Yellen Pushes for Global Minimum Tax Rate on Multinational Corporations

Treasury Secretary Janet Yellen argued for a global minimum corporate tax rate, as she made the case for President Biden’s $2.3 trillion infrastructure proposal ahead of virtual meetings with global counterparts.

www.wsj.com

28% is the upper range of our trading partners/competitors (China is opaque). But before "compromise" became a gop term meaning primaried in 22, even rational gopers knew 21% was a gift to Mitch's wife.
List of countries by tax rates - Wikipedia

But if a corp parks money in Antiqua just to avoid tax, I'm for hitting the corp or Antiqua.

 

[bendog]

Excellent. Manchin is more concerned about keeping the economy strong than virtue signaling.

Not really. Manchin asked for the corporate tax rate to go up to 25% and for the other three percent to be in tax increases on the rich. The economy would still be hit with the same devastating tax hikes during a global pandemic. People have to stop believing this guy is a moderate. His voting record proves otherwise

I'd gladly have zero corp tax and tax long term cap gains as ordinary income ... in theory. But since virtually all developed economies tax corps, and most higher than 21%, theory has to yield to reality.

 

[kaz]

Excellent. Manchin is more concerned about keeping the economy strong than virtue signaling.

Not really. Manchin asked for the corporate tax rate to go up to 25% and for the other three percent to be in tax increases on the rich. The economy would still be hit with the same devastating tax hikes during a global pandemic. People have to stop believing this guy is a moderate. His voting record proves otherwise

I'd gladly have zero corp tax and tax long term cap gains as ordinary income ... in theory. But since virtually all developed economies tax corps, and most higher than 21%, theory has to yield to reality.

Making up your shit again.

The rate in Europe is 21.9% and the worldwide rate is 24.2%. Those are both closer to 21% than 28%, particularly the European rate. China is 25%. So Joe does indeed want to set the standard as us having a high tax rate

 

[Fueri]

And their plan to keep companies from fleeing if they do raise taxes is to ask other countries to implement minimum tax rates.

So their plan is to ask countries to intentionally discourage foreign investment and the resultant growth of their own economies so we can jack taxes on companies here.

lol. you can't make this shit up. This would be the dumbest thing out of the Biden administration so far if they hadn't repealed Remain in Mexico, which will be a tough one to beat.....

That's not really the issue.

The Bottom Line
There's been much debate—particularly in the U.S. with a historically corporate tax-friendly Republican party in power—over whether or not a lower corporate tax rate spurs economic growth. While the impact of the TCJA on the overall U.S. economy won't be known for some time, it is likely that U.S. corporations will continue to park money in tax-free countries such as Bermuda, the Bahamas, and the Cayman Islands even as they create jobs in the U.S.

How the U.S. Compares
With the Tax Cuts and Jobs Act (TCJA) of 2017, the U.S. corporate tax has been slashed from 40%—the second highest in the world as of 2017—to 21% in 2018, below the global corporate tax rate average of 23.79%. The decrease in the U.S. corporate tax rate is one of the most dramatic decreases in any country since the beginning of the 21st century. Only Kuwait, which decreased its corporate tax rate from 55% to 15% in 2009, had a bigger percentage change.


In contrast, it took Canada nine years to slowly decrease its corporate tax rate from 36.6% in 2003 to 26.5%. Japan also slowly decreased its corporate tax rate from 42% in 2003 to 30.62% in 2019.


The Bottom Line
There's been much debate—particularly in the U.S. with a historically corporate tax-friendly Republican party in power—over whether or not a lower corporate tax rate spurs economic growth. While the impact of the TCJA on the overall U.S. economy won't be known for some time, it is likely that U.S. corporations will continue to park money in tax-free countries such as Bermuda, the Bahamas, and the Cayman Islands even as they create jobs in the U.S.

Countries with the Highest & Lowest Corporate Tax Rates (investopedia.com)

That is, EVEN WITH THE MCCONNELL TRUMP CORP TAX CUT corps have every incentive to keep cash offshore. I'd agree with Manchin that 28% is still probably high to keep corp's from having incentives to locate their actual office/production sites elsewhere. But it's a totally seperate issue as to whether we should penalize corporations for keeping cash in save havens unless safe havens cease being tax shelters.

And, yet that's what they're peddling, as Biden's proposed increase will move the US tax rate to near the top of major economies.

The result of that it obvious, even to Biden, apparently.

Yellen Pushes for Global Minimum Tax Rate on Multinational Corporations

Treasury Secretary Janet Yellen argued for a global minimum corporate tax rate, as she made the case for President Biden’s $2.3 trillion infrastructure proposal ahead of virtual meetings with global counterparts.

www.wsj.com

28% is the upper range of our trading partners/competitors (China is opaque). But before "compromise" became a gop term meaning primaried in 22, even rational gopers knew 21% was a gift to Mitch's wife.
List of countries by tax rates - Wikipedia

But if a corp parks money in Antiqua just to avoid tax, I'm for hitting the corp or Antiqua.

And?

My comment was on the absurdity of their asking other countries to implement tax policy in their nations so they can hike taxes here while avoiding business flight to lower tax locations. It's ridiculous, IMO, and likely to have a success rate of exactly zero.