Corporate Tax

PAT BUCHANAN: New World Order Company Revenue Tax Discount | Columnists

In a triumph of transnationalism, 136 nations, including the United States, agreed last Friday to impose a global corporate tax on all nations that must not drop below 15%.

“Almost the entire world economy has decided to end the race to the bottom in corporate taxation,” said Finance Minister Janet Yellen, who negotiated the pact.

Yellen revealed her nervousness about how such a globalist-dictated minimum corporation tax will be received in Congress and called for it to be passed “quickly”. Yellen is right to be nervous.

The tax proposal is a giant step forward towards a globalism that America has rejected, and its defeat should be a priority for libertarians, conservatives, populists and nationalists alike.

What is this “race to the bottom” that terrifies Yellen and her globalist allies? Simply the global competition of independent nations for lower tax rates to entice successful companies to relocate to their shores and bring their jobs with them.

Yellen’s “race to the bottom” is as American as apple pie.

High tax rates, for both businesses and individuals, in states like New York, New Jersey, Illinois, and California have proven to be an incentive for businesses to relocate to low-tax states like Texas and Florida.

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This worldwide corporate tax rate of 15% is intended to prevent this competitive taxation, the beneficiaries of which are companies that have moved to countries like Ireland with a corporate tax rate of 12.5%. The Irish corporate tax rate is less than half the 28% that Yellen and President Joe Biden want to impose on the US.

Why should free market and corporate Republicans vote to put a corporate tax rate dictated by New World Order agents in US law?

Signing this minimum tax of 15% would mean giving up our freedom of action to set our own tax rates in accordance with the values ​​and beliefs of the party and administration that the people elect to power.

Why should a great nation, especially this nation, agree to give up its freedom of action and have its surrender written into its national law and ratified by treaty?

Why forego a sovereign right to lower corporate taxes when and how we want it? Why deny us a competitive advantage that can be achieved by unilaterally lowering corporate tax rates?

Suppose the rest of the world accepts this minimum corporate tax of 15% and the US – to recapture and restore a manufacturing base that we gave away to China – responded to the world with a corporate tax rate of 7% or 8%.

Transnational corporations would work their way back to America’s door.

While globalists may be appalled, why should nationalists irrevocably give up freedom of action?

In the Trump era, lowering the U.S. corporate tax rate to 21% helped spark one of the great booms of modern times before the March 2020 pandemic broke out. At the beginning of the year, unemployment was at record lows in all categories.

As Ronald Reagan taught, corporations do not pay taxes; they collect them. They benefit from the income they receive from the customers who buy their products and services.

Ford and General Motors corporate taxes are derived from the prices charged to Ford and GM car and truck buyers.

And corporate profits are a major source of higher wages, bonuses, and the investment capital companies need to grow and create new jobs.

It is an article of faith among Republicans that lower taxes, for both individuals and businesses, lead to more economic activity and wealth. And that tax increases are the means by which rapacious governments consume the seeds of an economy.

A second provision agreed by the 136 nations is to redistribute the profits of the world’s largest corporations to the countries where their goods and services are sold, not the countries where they are located.

“Under the agreement,” writes the New York Times, “technology giants like Amazon, Facebook and other large global corporations will have to pay taxes in countries where their goods or services are sold, even if they don’t have a physical presence there.”

The Times adds, “The separate tax on the tech giants will redirect more than $ 125 billion in profits from the home countries of the world’s 100 most profitable companies to the markets in which they operate.”

Why would an America First party in the US, home to more tech giants than anyone else, sign a plan to transfer tax revenues from the US Treasury to foreign national treasuries?

The GOP should use this moment to reaffirm our independence in relation to our internal taxation of individuals and institutions in the United States and to reaffirm that we are setting the right rates here and not vetoed by any other nation. The US is not the EU.

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