By Frank Clemente, Campaign Manager, Americans for Tax Fairness
Four out of five Americans agree: Any new tax revenue that we get from closing corporate tax loopholes and eliminating special tax breaks for the wealthy should be spent on reducing the national debt and investing in our country (slide 11).
You’ve probably heard that Senator Max Baucus (D-MT), Chairman of the Senate Finance Committee, has released a plan to reform the U.S. corporate tax system.
He’s proposed some good things, like closing some blatant tax loopholes that encourage big corporations to shift their profits — and U.S. jobs — offshore.
But his plan has one big, central flaw. He wants to take every penny that is saved by closing these loopholes, and use them to lower the corporate tax rate.
In other words, corporations would get every one of those pennies right back.
This is referred to as “revenue neutral” tax reform. And it’s not what people want. As our recent poll shows (slide 11), Americans want to close corporate tax loopholes and use that money to invest in our communities — in education, energy independence, roads and bridges, and more. They don’t want to use that money to give more tax breaks to corporations.
Sen. Baucus is continuing to release other parts of his tax plan, and we’ll continue to track it. Check back for a deeper analysis to follow.