2.2: Corporate Tax
ENACT CORPORATE REFORM TO LOWER RATES, CLOSE LOOPHOLES, AND MOVE TO A TERRITORIAL SYSTEM. Other Information:
The U.S. corporate tax is a patchwork of overly complex and inefficient provisions that creates perverse incentives for investment.
Corporations engage in self-help to decrease their tax liability and improve their bottom line. Moreover, corporations are
able to minimize tax through various tax expenditures inserted into the tax code as a result of successful lobbying. Without
reform, it is likely that U.S. competitiveness will continue to suffer. The results of inaction are undesirable: the loss
of American jobs, the movement of business operations overseas, reduced investment by foreign businesses in the U.S., reduced
innovation and creation of intellectual property in the U.S., the sale of U.S. companies to foreign multinationals, and a
general erosion of the corporate tax base. Reform of the corporate tax structure should include the following:
Indicator(s):
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