Skip to comments.Obama to propose 'grand bargain' on corporate tax rate, infrastructure
Posted on 07/30/2013 7:23:23 AM PDT by upchuck
President Barack Obama will propose a "grand bargain for middle-class jobs" on Tuesday that would cut the U.S. corporate tax rate and use billions in revenues generated by a business tax overhaul to fund projects aimed at creating jobs.
His goal, to be outlined in a speech at an Amazon.com Inc facility in Chattanooga, Tennessee, is to break through congressional gridlock by trying to find a formula that satisfies both Republicans and Democrats.
Efforts to reach a bipartisan "grand bargain" on deficit reduction have been at an impasse for months. Senior administration officials say Obama is not giving up on a big deficit-cutting package, but given that no agreement appears on the horizon so far, he is offering a new idea to try to follow through on his 2012 re-election campaign promises to help the middle class.
Obama wants to cut the corporate tax rate of 35 percent down to 28 percent and give manufacturers a preferred rate of 25 percent. He also wants a minimum tax on foreign earnings as a tool against corporate tax evasion and increased use of tax havens.
The new twist is that in exchange for his support for a corporate tax reduction, he wants money generated by the tax overhaul to be used on a mix of proposals such as funding infrastructure projects like repairing roads and bridges, improving education at community colleges, and promoting manufacturing, senior administration officials said.
Obama's proposal would generate a one-time source of revenue, for example, by reforming depreciation or putting a fee on accumulated foreign earnings.
Officials gave no specific figure on how much money would be raised. But Obama in his State of the Union speech in February called for $50 billion for infrastructure spending.
(Excerpt) Read more at reuters.com ...
Second, this is an elaborate plan to shovel (no pun intended :) more money to his union pals. He meeds to do something for them since they're pissed off by nobamacare.
McCain says yes! Now,what was the question?
AND Graham has assumed “the Position”..
Chapter Two in the playbook:
Lenin’s way of buying time.
Hasn’t the nation already had a few roo many trips on Obama’s Merry-Go-Round?
His Grand Bargains seem to always turn into Grand Decrees or Grand Ultimatums.
Shrewd and cunning.
He knows all the lobbyists working for the crony capitalist crowd will gladly throw the country under the bus to grab a tax break for themselves.
And if the Pubbies refuse, he will campaign that they are “against jobs”.
There's the deal breaker.
Grand Bargain? Sure. And once it’s struck, he can just ignore or defer the parts he doesn’t like. Suckers!
He wants to tax foreign earnings? So, American companies working overseas will pay taxes to the country they are operating in...and the US.
Maybe the US companies should re-register as foreign companies to save taxes?
He also wants a minimum tax on foreign earnings......in exchange for his support for a corporate tax reduction, he wants money generated by the tax overhaul....
In other words, he is INCREASING taxes - again.
Obama's proposal would generate a one-time source of revenue...
As opposed to perpetually increased spending.
The idea that this is some "Grand Bargain" is as big a joke as this pResidency.
This is no different than Obama’s other Marxist bargains. Tax, spend, transform.
Wait, he's cutting corporate taxes but he expects more corporate tax revnue? But... how can that be?
He also wants a minimum tax on foreign earnings as a tool against corporate tax evasion and increased use of tax havens.
Ah, there it is. He will "cut" the basic rate but gouge in other areas and effectively increase the rate. Got it.
(Obama is as clueless as ever - in typical top-down-socialist style, he still thinks that only Government can boost employment. If he really wants a legacy, why not approve the Keystone Pipeline? That’ll create jobs right away!!)
Congressional Republicans suffer from the Charlie Brown football syndrome. Always fall for President Lucy.
Yesterday I read that 0bama regime admitted to not enforcing immigration laws -
now I read that 0bama regime admits that reducing marginal tax rates increases tax revenues?
I like how Rooooters tries to impress us by mentioning deficit cutting... But wait, there’s a Reaganomics notion of cutting taxes to raise revenue? OH! And the liberal idea of raising taxes to raise revenue...
But the real nugget in the story is where the money will ACTUALLY come from, a one time raid into the land of depreciation. Which of course will not be a one time raid.
Either way, at the end of the day, the proposal is to spend even more money and do absolutely nothing about the trillion dollar deficit. That’ll help the middle class...
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