Howard Dean on Corporate Tax Cuts

Once again, Howard Dean has demonstrated that he recognizes the BIG problems that face America- the ones that usually don't get front page coverage. Here's his recent statement on corporate tax cuts, direct from his BlogForAmerica website.

SAN FRANCISCO -- Governor Dean today attacked a House plan to provide new tax breaks to corporations.

"I continue to fear that we are rapidly reaching the day, as James Madison and Thomas Jefferson warned, where economic power would one day try to seize political power. Once again, Washington is putting large corporate interests -- who write the big checks and, in turn, get to write the legislation -- ahead of the small businesses and working Americans who continue to bear a greater share of the tax burden in this country."

"Among the tax breaks in the bill, according to Monday's Washington Post, are: $652 million for a few shipping companies, $161 million for owners of oil pipelines, and $8.2 billion for large multinational corporations. The bill establishes a preferential 32 percent tax rate for selected types of corporations. It also would reduce the tax rate from 35 percent to 5.25 percent on certain earnings of multinational corporations that have hidden earnings offshore. According to Bear Stearns, S&P 500 companies have some $400 billion of these unrepatriated foreign earnings overseas.

"This latest scheme will put working Americans at least another $60 billion in the hole, at a time when we are already facing $5 trillion in deficits over the next 10 years. Recent reports indicate corporations that used to bear 30-40% of the tax burden in this country, now only pay 8 percent of the total."

To read more about this issue, go to the direct link at the BlogForAmerica website.

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