[Report Abuse]
[Login to Blog] timeontarget's Blog
Pfizer Corporation Moving to avoid U.S. high tax.
Last comment by HMJC 1 year, 6 months ago.

Take Me To Post Comment Form

Pat Buchanan’s latest column tells us what our liberal friends have accomplished with their ever reaching clamor for redistributing the wealth. The thought Buchanan presents makes perfect sense to me and I have copied it here in it’s entirety. I’ll be interested in what the Courier blog site visitors have to say in response.

Here it is:

News that Pfizer, the world’s largest pharmaceutical company, plans to buy Britain’s AstraZeneca for $106 billion, renounce its U.S. citizenship, and declare itself a British company, has jolted Congress.

Pfizer is being denounced as disloyal to the land of its birth, and politicians are devising ways to stop Pfizer from departing.

Yet Pfizer is not alone. Hedge fund managers are urging giant corporations like Walgreens to go nation-shopping for new residences abroad to evade the 35 percent U.S. corporate income tax.

Britain’s corporate income tax is 20 percent, and Pfizer stands to save over $1 billion a year by moving there.

In what are called “inversions,” dozens of U.S. companies have bought up foreign rivals, and then moved abroad to countries with lower tax rates, cutting revenue to the U.S. Treasury.

But Pfizer is far and away the biggest.
The real question, however, is not why companies are fleeing the USA, but why our politicians continue to drive them out of the country.

Consider. Here in America we do not tax charities, churches or colleges. Yet these institutions produce a fraction of the jobs that businesses produce.

If, as a nation, we are committed to “creating jobs,” does it make sense to impose the highest corporate tax rate in the Western world on our biggest and best job creators?

Is this not economic masochism?

Many governors understand that if you want something in your state, you do not drive it out with high taxes. You strengthen the magnet of low taxes.

Florida wants residents of other states to move there and retire there, so it has no income, estate or inheritance tax.

For years, Rep. Jack Kemp urged the creation of enterprise zones in poor communities like Benton Harbor, Michigan, and Harlan County, Kentucky.

Businesses that relocated there would be exempt from corporate income taxes.

Why not make the United States the largest enterprise zone on earth — by abolishing the corporate income tax?

If the corporate income tax were repealed, no U.S. company would think of moving abroad, and every transnational company would think about moving to the USA.

What a message this repeal of the U.S. corporate income tax would send to corporate headquarters worldwide:

Relocate your company or next factory to the USA, keep every dollar of profit you earn, and either reinvest it here or take it home. Your call.

How would America benefit?

Every U.S. company, liberated from its corporate tax burden, would see its profits soar and have more cash on hand for cutting prices, raising wages and salaries, and new investment and hires.

And every company that relocated here would create new U.S. jobs.

This would be a stimulus package to end all stimulus packages.

Isn’t this what we all want?

Or are we not willing to create jobs here if the means of doing so conflict with redistributionist ideology?

Consider the other benefits of abolishing the corporate tax.

Corporate lobbyists, who spend their days walking Capitol Hill corridors seeking tax breaks, and their evenings at fundraisers handing $1,000 checks to congressmen who can create tax loopholes — in a form of legalized corruption and glorified bribery, could be put out to pasture.

Armies of tax lawyers, accountants and IRS agents could be shifted to more productive work.

Companies could focus full time on creating new wealth, not finding ways to keep what they have earned.

Many politicians seem to think the corporate tax punishes the rich and powerful and is an indispensable weapon in reducing inequality and redistributing wealth.

This is neosocialist myth.

As Ronald Reagan used to say, corporations don’t pay taxes, people do.

The billions in corporate income taxes paid by Wal-Mart and McDonald’s come out of the dollars spent by consumers who shop at Wal-Mart’s and eat at McDonald’s.

Where else does Ford Motor get the money to pay its corporate income tax, if not from dollars spent by Middle Americans on Ford cars and trucks?

Middle America pays the corporate income tax.

How could we make up for the lost revenue to government?

Simple. The corporate income tax last year produced $273 billion, less than a tenth of federal revenue.

Imports, which kill U.S. jobs and subtract from GDP, totaled $2.7 trillion last year.

Put a 10 percent tariff on imports, and the abolition of the U.S. corporate income tax becomes a revenue-neutral proposal.

Looking back, consider what our political class has done to our once self-sufficient American Republic.

We impose on businesses, our principal job creators, the most punitive corporate tax rate in the West.

Through “free trade,” we tell U.S. companies that if they wish to avoid our taxes and get around our minimum wage, health, safety, and environmental laws, they can move to China, produce there, and bring their products back free of charge — and kill their competitors too patriotic to leave America.

“The Decline and Fall of the United States of America” is going to a piece of cake for future historians to write.

Patrick J. Buchanan is the author of “Suicide of a Superpower: Will America Survive to 2025?”

Latest Activity: May 14, 2014 at 6:33 AM

Bookmark and Share
Forward This Blog
Print Blog
More Blogs by timeontarget
Send timeontarget a Message
Report Abuse

Blog has been viewed (722) times.

gacpl commented on Wednesday, May 14, 2014 at 07:29 AM

for Pfizer it's not just corporate tax, obama care just added more tax on anything medical. all the supplys that they use now cost more. they will move their manufacturing over seas next to avoid all obama care tax.

HMJC commented on Wednesday, May 14, 2014 at 10:44 AM

As much as we complain about corporations taking jobs and products overs; you would think we would provide perks for companies that stayed in America.

The self proclaimed "Robin Hood" mentality of taking from the rich and giving to the poor is tiresome. The "rich" cannot independently be considered the primary goal that will restore/repair the economy.

I would be interested what the deficit is for Americans and Aliens that do not pay taxes. I venture to say this statistic coupled with the myriad of tax breaks received would be a significant amount. I have a novel idea... How about we focus on the 56% that don't pay income taxes are looked at a little harder and start to recoup some of those monies. There doesn't need to be a new and improved approach; we need to analyze our own systems of checks and balances and "balance the books" before we insist that Corporate America needs to pick p the tab

Log In to post comments.

Previous blog entries by timeontarget
Buchanan's latest On Obama
November 20, 2015
It appears to me that our congress has finally awakened to the danger of our Presidents efforts to diminish the US on the world stage or perhaps they've just finally gotten backbone enough to stand up to him. Pat Buchanan's organization has composed a well written column on the subject. ...
Read More »
Is Putin our Ally in Syria
November 17, 2015
As the Republican war mongers clamor for spotlight by declaring that we must again enter another war where we really have no place going Pat Buchanan sheds a better and brighter light on the subject. Please read and think about what he has to say. Is Putin Our Ally in ...
Read More »
The Republican War — Over War Policy
November 13, 2015
The Republican War — Over War Policy By Patrick J. Buchanan Friday - November 13, 2015 Rand Paul had his best debate moment Tuesday when he challenged Marco Rubio on his plans to increase defense spending by $1 trillion. "You cannot be a conservative if you're going to keep promoting ...
Read More »
FBI Increases Clinton email probe
November 11, 2015
FBI steps up interviews in Clinton email probe Questions focus on whether State officials improperly sent classified material. By RACHAEL BADE 11/10/15 05:14 AM EST Even as Hillary Clinton tries to put questions about her private email server behind her, the FBI has stepped up inquiries into the security of ...
Read More »
November 07, 2015
Guardian of the Republic Meet Allen West Crime expert releases SHOCKING new statistics about black men killed by cops Written by Michele Hickford, Editor-in-Chief on November 7, 2015 This will no doubt send a giant shiver down the backs of every supporter of the Black Lives Matter movement. As The ...
Read More »
[View More Blogs...]

Powered by
Morris Technology