Corporate Tax smackdown, good or a cover???

When you listen to these politicians on television their ideas sound so heavenly. Then when a deep look is taken at the so called wonderful measures, it is not so clear.

While cracking down on corporate tax loopholes makes us all jump for joy, there is so much to consider for the average person. I sadly, am one of those that has lost all confidence in the president, but would like to hear varying opinions and a discussion of these new measures.

The president said he wants to prevent U.S. companies from deferring tax payments by keeping profits in foreign countries rather than recording them at home. He also called for more transparency in bank accounts held by Americans in tax havens such as the Cayman Islands. "If financial institutions won't cooperate with us, we will assume that they are sheltering money in tax havens and act accordingly," Obama said.

www.google.com...

money.cnn.com...

Here's the way I look at it.

In Washington whether a president, senator or what have you politics come first.

It's just a play with words in order to disguise the truth, talk about everything but the actual question asked (because they don't know the answer), etc. in other words politicking. Confusing the masses with the answers to solve a problem in such a way it sounds good but when getting right down to the nitty gritty, changes nothing.

Problem becomes even if a bill like that is passed, who will actually follow-up on it? Especially if half the law makers have accounts in a bank such as mentioned. Not to mention how hard would it be to bribe someone every year if you had hundreds of millions over seas?

Sure in the beginning a few people will be made examples of but after that I would guess the ball would be dropped just like every other program that is govt. run.

Hence the reason most people take the presidents word for it, a lot easier than dissecting the mess to see what's really happening.

This is a sad, sort of, part of my new reality or paradigm if you will. I was once so hopeful when they said this or that. Now after raising my kids to be good little voters and concerned citizens...I find it is pretty much all crap.

I do think though from what I know, if they could really shut down those accounts and get that tax money it would be a wonderful thing. They have been evading their fair share for a very long time with this overseas stashing of profits. The foreign banks at this point could care less about reporting anything to the IRS. That would change if they don't comply...according to Obama anyways.

What will likely be more telling than any real action taken will be the reaction of our "fearful leaders" in the Senate and House. He who cries the loudest has the most to loose. LOL

This is a good thing. People like you and I are often paying a larger percentage of our income as tax than some BIG corps.

Please chek out the excellent PBS Frontline special called Tax Me if You Can.

The fed govt (etc) is losing BIG bucks because these greedy companies are *purposefully* moving profits offshore to avoid paying the bills of this great country.

It's sick, and sad.

The April 2 release of a General Accounting Office report on corporate taxes could hardly have been better timed to get press attention. Just as millions of Americans were filling out their federal 2003 tax forms to beat the April 15 deadline, the GAO study indicated that most corporations owed no taxes from 1996 to 2000, a boom period for corporate profits.

Those untaxed corporations earned $3.5 trillion of revenues.

www.csmonitor.com...


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[edit on 4-5-2009 by autsse]

[edit on 4-5-2009 by autsse]

Banks and corporations are the true evil of this day. Their influence over government is worldwide and sad indeed. How they can be allowed these loopholes when making billions of dollars of profit by screwing the manufacturing base is past what I can understand.

I live in the northeast and have seen the entire Western NY area turned into a ghost town. There is little blue collar work anymore and everyone is not college material, nor can afford it. Our entire economy is gone up here, transformed by these treaties that gave them cheap labor and tax shelters. I hate them all.