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Independent Women’s Forum economic analyst Hadley Heath and WSJ Editorial Page Editor Steve Moore on tax reform.
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Independent women's -- superhero -- he's.
Says this is super wrong.
What's going on -- -- best selling author Steve Morse says this is proof the corporate tax code as a super mess and needs to defects.
Hello my my issue with this isn't so much that -- corporations have to pay the same and that sums into consideration shouldn't be made.
For newer companies whose costs are higher than others.
My argument is everyone should -- something and they're not.
Right -- this.
Is cronyism this is big business and that with big government telling you -- -- though it.
That's nearly 74000.
Pages long it's going to be full of loopholes and deductions and credits and penalties.
That benefit some -- at the expense of others felt I agree with you it's time for tax reform full over half.
-- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- These companies do anything criminal they're taking advantage though the law that allows you to do this but unprincipled principal cycle on an argument for fairness and women make no big deal Leslie should.
About the 50% of I was -- who don't pay -- of oil against something legitimate reasons.
-- I think corporations have to move to the -- line and by example.
-- some.
Listen if your big business it's your job to make a profit and I think businesses that willed individuals like me.
I think to minimize my tax burden so long as what I'm doing is legal and so that I'm sure that I'm in combined with the tax scout.
But at the end of the day this is not a problem with the profit motive this of that policy problem.
That's -- problem where Washington.
Is full of uncle Sam's who are willing to make deals with corporations especially.
When these -- the guys like FaceBook we're giving big time campaign donations.
To the guys that and that and that might -- in congress.
You know you've argued for years you won't resign on you that it's the tax code -- -- that's it's gotta be fixed.
And I'm wondering whether moments like this when we find out these companies that.
You know I know you can make an argument well we're -- -- we're not really making money yet which are worth a gazillion dollars and a -- and I don't make money.
Where didn't get away -- and and and and we haven't cut tax code that allows them get away with -- -- what what do you think.
This triggers a first vol they'll -- I -- something to that examples you mentioned of they industries and how much they're paying -- and tax rates effectively.
You know you can that you left out the -- clean energy green energy industry and -- you know what -- effective tax rate is.
It's not -- what you'll take down yeah it back from Iraq well you know I think that deliberately Steve's sort of real out saying why I let them out.
If you're not overtly political about this to make a statement about.
Favorite credits and all that don't -- -- -- -- benefit.
Causes one to the other tragic Hadley pointing quite rightly pointed out where that would come up then and why that would be an issue but I think it's that -- itself.
And how would it didn't abuse that has to be addressed because it -- a big deal when people are saying about Mitt Romney's low tax rate well by comparison at least you've made some statement.
That's right and you know the real injustice of the corporate tax system is that you -- side you have some companies that are paying 3033.
Even as much as 35%.
Got tax rate -- many have ever other companies are paying zero or -- some cases -- How do you get around that problem how do you create a fairer system which is I think what everybody wants.
And what I'd say is you know why not go to a consumption hit tax.
Type system where you you know that you you pay -- -- based on -- consumption that's -- that way everybody pays companies would pay.
And you're not penalized for the more money that you make but when -- got a tax system.
Where you got all of these tax breaks I I did some of the math on this and -- if you can just get rid of all these tax breaks in the code.
And just lower the tax rate you -- Baghdad our corporate tax rate down from the highest in the world.
Down to at least about the average of the world think about that what that means for American competitiveness.
Well that's a very good point -- and you know avenue and -- thinking about as you know a lot of people say -- ignore what they business standard US corporate tax rate by the -- to close to 40% or not.
That's like the sticker price you pay at the irony is that the oil industry does -- is what the oil industry -- I'd like the oil and -- -- makes a lot of money.
It pays a lot of money back it's it's contributions.
And collectively to the Watson a golfer's that they equivalent to GDP a Latin America.
So they're they're they're paying for a lot of this nonsense but apparently their -- the abuse that comes.
Would being big contributors to Washington as well in keeping all of this going not I understand that Washington would wanna collectively say thank you but it did -- hardly deserving of a screw you.
Well what's funny is President Obama loves to demonize oil companies and he also spent his last State of the Union Address that.
Like Steve said we could save millions even billions of dollars by getting rid of these tax loopholes for the wealthy and for corporations.
And yet he's the guy in power he's the guy in the White House he says he agree is a with Republicans in congress about lowering the corporate tax rate.
Why haven't we see any action on you know I -- -- -- -- alert.
Let me mention -- -- have -- that the -- is an important point.
You know the president -- out I think at least three commissions you and I've talked about this many times I don't know -- -- Then of all recommended the same thing get rid of that -- in the tax code.
Lower the rate on the business side as much more effective Paul Volcker who headed president Obama's tax commission said this is costing America jobs.
President Obama keep saying jobs is job number one.
Why don't we know that's.
Well you know what I they got guys to -- that I attended -- -- exert restaurants I don't know why I'm fixated on on food all.
But it's US someone else paying the bill you really don't care I'm Norma when someone else -- -- when I go out let's say it was used treating me Steve you know I know you're -- -- you wouldn't do that.
I I would boarded the two appetizers and the expensive bottled wine I mean the one that doesn't have the that's why don't ask you out of that -- -- -- -- -- -- that's a twist off cap.
-- and I and and I think Americans are the same way in this respect that is someone else is footing the bill who were you to look at the price of the bill.
But -- area where if you had some skin in the game that you're all that then you're a little bit more cognizant of not only disservice but what what are getting for that money.
And and and even the tip at the end.
And there's another element to this deal which I agree with that but also you know is that if you don't have a corporate lobbyist who's getting all these tax breaks -- -- soccer.
-- -- -- -- want you're exactly right right exactly right.
-- reminds me of an angry and -- atlas shrugged everybody had to have a man in Washington and the story and it's scary that reality is coming to match that but in an economy.
Where big businesses have to depend on their man in Washington.
What is that doing the little guy there's a real anti growth anti competitiveness element to that there.
Well I will say this I know as we're about to try to -- up the rich more get more money from them.
While small sliver of a small -- taxpayers who were paying for the part and -- retired bakery it would not kill us to at least try to expand.
The pile little bits of that everyone's paying -- and then I think -- everyone every piece Jackson and that's Singapore.
Have to pay.
You know at a -- a 39 point 6% rate or even the very work today.
Much of anything at all but I think if everyone has something in in the in.
We you'll have a stake in the action and I think that's being forgotten when -- more premier cool companies.
You know dodge the tax -- all to.
Well let you know it's a big problem when you got -- -- that are paying taxes and half an hour.
You know -- it is what is but I guess -- I will not let this stand -- But thank you both very much good see you get the.
