Says United States Should Adopt Simpler System with Lower Corporate and Individual Rates and Territorial System
WASHINGTON, D.C.—U.S. Chamber of Commerce Executive Vice President for Government Affairs Bruce Josten issued the following statement today ahead of the U.S. corporate tax rate becoming the world’s highest on April 1, 2012:
“In just a few days, the United States will hold the dubious distinction of having the highest corporate tax rate in the world. By simply standing still, we are falling behind. We need fundamental, comprehensive tax reform to improve our tax system, strengthen the economy, and help American companies compete and win.
“The United States tax system is increasingly out of step with the world economy and its competitors’ tax systems. As countries such as Canada and the United Kingdom have moved to reform their tax systems and lower rates to encourage economic growth, America’s inaction puts American worldwide companies at a competitive disadvantage and threatens our economic recovery.
“The Chamber believes now is the time for comprehensive, fundamental tax reform that lowers the individual and corporate rates and keeps them synchronized. Reform should also shift to a territorial tax system, bring taxpayers certainty, simplify the tax code, and provide adequate transition rules to get our tax code from where it is now to where it should be.
“Ultimately, the marketplace, and not the tax system, should allocate capital and resources. We can’t allow our tax code to continue to punish American businesses and taxpayers. We need reform and we need it now if we are serious about driving economic growth, creating jobs, and enhancing American competitiveness.”
The U.S. Chamber of Commerce is the world’s largest business federation representing the interests of more than 3 million businesses of all sizes, sectors, and regions, as well as state and local chambers and industry associations.