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Bush May Try to Cut Corporate Tax Rates [Warns China "not to start a trade war"]
Washington Post ^ | Thursday, August 9, 2007 | Peter Baker

Posted on 08/09/2007 7:15:44 AM PDT by indcons

President Bush said yesterday that he is considering a fresh plan to cut tax rates for U.S. corporations to make them more competitive around the world, an initiative that could further inflame a battle with the Democratic Congress over spending and taxes and help define the remainder of his tenure.

Advisers presented Bush with a series of ideas to restructure corporate taxes, possibly eliminating narrowly targeted breaks to pay for a broader, across-the-board rate cut. In an interview with a small group of journalists afterward, Bush said he was "inclined" to send a corporate tax package to Congress, although he expressed uncertainty about its political viability.

The president's comments came as he tried to calm volatile stock and mortgage markets and reassure the country that the economy is fundamentally strong. Despite mounting concern over the downturn in the housing market, he dismissed proposals advanced by prominent Democrats to grant government-chartered Fannie Mae and Freddie Mac more freedom to buy mortgages and mortgage-backed securities. And he ruled out any taxpayer bailout of lenders threatened by the subprime home-loan crisis.

In a 48-minute conversation on an array of economic issues, Bush also warned China not to start a trade war, blamed Congress for not doing more to shore up infrastructure such as the bridge that collapsed in Minneapolis last week, and pushed back against Democratic presidential candidates who are promising to renegotiate the North American Free Trade Agreement.

(Excerpt) Read more at washingtonpost.com ...


TOPICS: Business/Economy; Front Page News; News/Current Events; Politics/Elections
KEYWORDS: bush; china; nafta; taxes; trade
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[...] Bush also warned China not to start a trade war, blamed Congress for not doing more to shore up infrastructure such as the bridge that collapsed in Minneapolis last week, and pushed back against Democratic presidential candidates who are promising to renegotiate the North American Free Trade Agreement.
1 posted on 08/09/2007 7:15:48 AM PDT by indcons
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To: indcons

Corporate tax cut? Why, that would make sense. Boy are the Democrats gonna hate THAT idea.


2 posted on 08/09/2007 7:17:39 AM PDT by RexBeach ("Americans never quit." Douglas MacArthur)
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To: indcons

So, he’s trying to sound like a conservative again? He’s not up for reelection, so why bother now?


3 posted on 08/09/2007 7:17:51 AM PDT by ConservativeMind
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To: indcons

Darn shame it has taken him 7 years to finally respond to the Democrat spin.


4 posted on 08/09/2007 7:18:40 AM PDT by Dustbunny (The BIBLE - Basic Instructions Before Leaving Earth)
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To: indcons
President Bush said yesterday that he is considering a fresh plan to cut tax rates for U.S. corporations...

Let me be the first to suggest the new rate!

I suggest 0.00%.

Corporations don't pay taxes! The consumers of their products do.

5 posted on 08/09/2007 7:21:52 AM PDT by Bigun (IRS sucks @getridof it.com)
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To: Toddsterpatriot; Mase; expat_panama

You dump my Treasury notes, I cut my corporate tax rates. Sounds like a plan to me.


6 posted on 08/09/2007 7:22:24 AM PDT by 1rudeboy
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To: indcons

“Bush also warned China not to start a trade war,”



Or what?
We’ll move the fleet from Iran?
We won’t let them buy any more Treasuries?
We won’t export any more jobs and factories to them?


7 posted on 08/09/2007 7:22:24 AM PDT by ex-snook ("But above all things, truth beareth away the victory.")
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To: indcons

He needs less reaction and more proaction.


8 posted on 08/09/2007 7:22:33 AM PDT by cripplecreek (Greed is NOT a conservative ideal.)
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To: ex-snook

That’s the American spirit!


9 posted on 08/09/2007 7:23:09 AM PDT by 1rudeboy
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To: RexBeach

It needs to be done, but he doesn’t have the clout to get it passed.


10 posted on 08/09/2007 7:23:24 AM PDT by Moonman62 (The issue of whether cheap labor makes America great should have been settled by the Civil War.)
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To: Dustbunny

I’m in disbelief.


11 posted on 08/09/2007 7:23:33 AM PDT by television is just wrong (deport all illegal aliens NOW. Put all AMERICANS TO WORK FIRST. END WELFARE.)
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To: Bigun

Ahhhhh...you may want to rethink that nugget of misinformation you just posted.

As a tax professional with several years of experience, including large international firm experience, I can assure you that corporation pay taxes.

Stop perpetuating the myth that “All taxes are just passed to the consumers”.

Okie Dokie...


12 posted on 08/09/2007 7:25:37 AM PDT by in hoc signo vinces ("Houston, TX...a waiting quagmire for jihadis.")
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To: indcons
The president's comments came as he tried to calm volatile stock and mortgage markets and reassure the country that the economy is fundamentally strong. Despite mounting concern over the downturn in the housing market, he dismissed proposals advanced by prominent Democrats to grant government-chartered Fannie Mae and Freddie Mac more freedom to buy mortgages and mortgage-backed securities.

That shows how out of touch he is, but no surprise since he never did have an economic clue. The DOW is plunging again today, which reminds me of the stock market reactions in 2001 and 2002 when he gave some of his idiotic economic speeches.

13 posted on 08/09/2007 7:27:07 AM PDT by Moonman62 (The issue of whether cheap labor makes America great should have been settled by the Civil War.)
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To: in hoc signo vinces
Okie Dokie...

No sir! Sorry!

Corporations have exactly ONE source from which to pay anything! It is called their sales receipts!

14 posted on 08/09/2007 7:29:35 AM PDT by Bigun (IRS sucks @getridof it.com)
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To: indcons
"The administration said the U.S. corporate tax rate, once modest compared with international competitors, is now second only to Japan's among 30 member states in the Organization for Economic Cooperation and Development." [emphasis added]

This sort of reporting ticks me off, is this guy a financial reporter, or not? "Modest," is one only looks at the tax rate superficially. What about the fact that U.S. corporations pay U.S. income tax on their world-wide income, while foreign corporations only pay (to their Treasuries) on what they earn at home?

15 posted on 08/09/2007 7:30:32 AM PDT by 1rudeboy
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is = if


16 posted on 08/09/2007 7:31:05 AM PDT by 1rudeboy
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To: 1rudeboy
is now second only to Japan's among 30 member states in the Organization for Economic Cooperation and Development

So we are number two?

17 posted on 08/09/2007 7:32:35 AM PDT by Toddsterpatriot (Ignorance of the laws of economics is no excuse.)
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To: RexBeach

C’mon, Bush, just do it !


18 posted on 08/09/2007 7:36:36 AM PDT by cinives (On some planets what I do is considered normal.)
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To: Toddsterpatriot

It’s tough to say . . . apparently there are conflicting measures. The WSJ has us at numba’ one. I should check Heritage.


19 posted on 08/09/2007 7:37:25 AM PDT by 1rudeboy
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To: indcons

Sounds good to me but it will give the rats and pseudo-cons plenty of propaganda for the upcoming election.


20 posted on 08/09/2007 7:37:51 AM PDT by Chi-townChief
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