re: NY basically admitting that low taxes create job opportunities..

quote:

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We have the highest corporate income tax rates IN THE WORLD.

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I know that ya'll love to tout this little nugget as the prime example of how corporate America is being held hostage to the source of communists in Washington, and it would make sense if only it were true. Of course it is not. Yes, the statutory corporate tax rate in the US is higher than it is in all developed nations. So you have a grain a truth in this claim. The problem is that the statutory rate is the rate that profits are taxes at AFTER all the deductions, shelters and loop holes have been taken. In 2012 the effective corporate tax rate in the US was 12%....this is the actual amount that corporations around the country remitted to the IRS and this amount is based on the total profits of corporations. This 12% effective rate is lower than just about any developed nation (or undeveloped for that) on earth, so the effective corporate tax rate is not higher than it is in the rest of the world and is not a job killer that ya'll would believe it is.

But lets look at this further. Lets say that all loop holes, deductions, and other forms of loop holes (for lack of a better term) were closed and every corporation was paying the top satutory rate (35% ?). Why is it that all the GOP ever pushes for is more income tax breaks? Why not tackle the corporate tax structure in earnest? Obviously if there is a 23% or more difference in the top rate and the actual rate that corporations are paying there is probably some room for tightening up on loop holes. I am no expert but if you can trim that rate down by 23% through manipulation and careful planning it seems like it would be much more cost effective to simplify the entire system....but of course that would not leave any room for lobbying for special interest and favors and that is never going to happen....if you think it is your living in a fantasy world where the free market will prevent chemical companies from setting rivers on fire.....