Wonk Room » McCain Adviser Carly Fiorina Acknowledges Tax Incentives For Corporations To Move Offshore

McCain Adviser Carly Fiorina Acknowledges Tax Incentives For Corporations To Move Offshore

By Guest Blogger on Apr 17th, 2008 at 9:20 am

McCain Adviser Carly Fiorina Acknowledges Tax Incentives For Corporations To Move Offshore

Our guest blogger is James Kvaal, Domestic Policy Advisor at the Center for American Progress Action Fund.

In Milwaukee yesterday morning, McCain campaign advisor Carly Fiorina described how –- as the former CEO of Hewlett Packard –- she parked profits overseas even though it negatively impacted the U.S. economy. Watch it:

American corporations can postpone U.S. taxes on foreign profits indefinitely by keeping profits overseas. Since U.S. taxes are effectively voluntary, it’s not surprising that few corporations choose to pay them.

While Fiorina was leading HP, the company aggressively exploited offshore tax planning. The company held more than $14 billion overseas in 2004, according to the Washington Post, reducing its tax rate from 35 percent to 12 percent. At the time, Fiorina was a prominent defender of the offshoring of American jobs –- or, as she called it, “right-shoring.”

Now she is advising Sen. John McCain, who has refused to support the elimination of incentives to invest overseas. He even voted against an amendment to require companies to pay taxes on money they earn from foreign-made products sold in the U.S.

The bottom line: While proposing $175 billion in corporate tax cuts, McCain would continue to allow CEOs focused on the bottom line to invest overseas, rather than at home. The result is lower wages and a higher share of the tax burden for American workers.

Comments
3

3 Responses to “McCain Adviser Carly Fiorina Acknowledges Tax Incentives For Corporations To Move Offshore”

JMOHR Says:

The perfect Republican world would have:

1. No taxes on the profits of corporations.

2. No taxes on the dividends from corporations.

3. No taxes on capital gains.

4. No taxes on estates.

All of these tax changes will be justified as creating greater investment opportunity in the US economy in order to provide better jobs and wages for US citizens. One would also expect to see either a flat tax or the imposition of sales taxes.

There will be involuntary servitude for those poor unfortunates who would not be able to afford taxes or debts.
April 17th, 2008 at 10:42 am
fletc3her Says:

I believe that corporations not paying their fair share of taxes is un-American. Corporations owe their very existence to the greatness of this country. They should be happy to contribute to the prosperity of this country as they rake in record profits. The U.S. government should not do business with companies that are employing tax havens.
April 17th, 2008 at 12:38 pm
NOLIESPLEASE Says:

Oh the beads of swet coming off the forhead of the Corp. heads. Just wait til Obama gets into office. All that money is coming back to the main land. We are to deep in debt. Those billions are owed to the American people who sacrificed with blood.

For a better insight into the submission of citizens watch http://www.zeitgeistmovie.com Then tell me what the game is all about.
April 18th, 2008 at 2:41 pm