Politics: Corporate tax rates: Where Obama and the GOP agree, and where they differ
- 32% the current corporate tax rate in the U.S., which many companies lower by using tax loopholes, leading to an extremely complex tax code
- 28% the rate Obama wants to lower that too, while closing up many of the loopholes in the process, which might lead some companies to pay more
- 25% the rate the GOP wants to lower it to; closed loopholes would have to be tempered, though, so companies wouldn’t pay any extra source
- » Revenue-neutral or revenue-raising? The differing views of how the corporate tax policy should be reformed strike at the heart of differing philosophies the two parties have. Both agree on some basics — they’d like to figure out ways to get multinational companies to create jobs in the U.S., for example. “My message is simple: It’s time to stop rewarding businesses that ship jobs overseas and start rewarding companies that create jobs right here in America,” Obama said during the State of the Union in January. However, they differ greatly on the ultimate solutions. Do we need to give such big tax breaks to massive oil companies? Democrats say no. Republicans say taxes across the board are too high. We hope they solve this, UFC-style, in “The Octagon.”