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"I think Mr. Rall has his corporate tax facts a bit bollixed up.
Compared to other countries in the world the US Corporate Tax Rate is among the worlds’ highest. Currently, the average combined federal and state corporate tax rate in the U.S. is 39.3 percent, second among OECD countries to Japan's combined rate of 39.5 percent. Lowering the federal rate to 30.5 percent would only lower the U.S.'s ranking to fifth highest among industrialized countries. Additionally, the U.S. is among eight countries with extra corporate tax rates imposed by state or local levels of government. While the burden of these state-level taxes is somewhat lessened because they can be deducted from federal taxes, they do add a second layer of tax and also add considerable complexity for multi-state and multi-national businesses. Also consider the shift in the form of business organization in the United States since 1986 has substantially reduced the amount of business income subject to double taxation. The UK, Italy and Germany have all lowered their combined corporate rates over the last 5 years to try to stay competitive globally; and the USA , just under Japan, is still at the top of the tax heap.
CEO pay packages and corporate tax rates have nothing in common. One is set by the company's board of directors to presumably retain competent executive talent to grow a business and return value to shareholders. If it is considered "excessive" complain to the board’s executive compensation committee members directly, which can be done easily with most public companies, again, assuming you own shares in the companies and have cause to complain. Other than that you are just politicizing jealousy, and creating “class envy”. However, I would get on board with a plan that would cost the executive money in years when they did not add value, or lost worth in a business under their management; sadly that will never happen though.
As to corporate taxes, they are a drag on capital formation, business expansion and a job-killer. The more money sent to government at all levels the less left over to expand business, build new facilities and hire workers. When was the last time you ever saw any government create a good or service that was self-funded, expanded the public good, and terminated when complete?
Respectfully yours,
George Lee"
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