“With corporate profits at a 50-year high and corporate taxes as a share of the economy at a 50-year low, now is not the time to lock in low corporate taxes.”
American Sustainable Business Council
Decembr 20, 2012
WASHINGTON, Dec. 20 /CSRwire/ – Business owners and executives say it’s time for Plan C: big corporations now dodging billions in taxes should pay their fair share. Forget Plan B tax breaks for those making $999,999 a year, cuts to Social Security, and “revenue neutral” corporate tax reform. Instead, the American Sustainable Business Council, Business for Shared Prosperity and the Main Street Alliance call on Congress and the President to close corporate tax haven loopholes costing the U.S. Treasury $100 billion a year and raise corporate tax revenues above today’s historically low levels.
“With corporate profits at a 50-year high and corporate taxes as a share of the economy at a 50-year low, now is not the time to lock in low corporate taxes,” said Joseph Magid, president of Gryphon Systems, a management consulting company in Wynnewood, PA. “Our country can not afford to keep giving tax breaks and loopholes to giant corporations at the expense of smaller businesses. Highly profitable U.S. multinationals should pay their fair share.”
“You can dress up your profits in Bermuda shorts. But that doesn’t mean they’re not earned in America,” said Lew Prince, managing partner of Vintage Vinyl in St. Louis, the Midwest’s largest independent music store. “There’s nothing neutral about big business tax dodging – it’s unpatriotic plain and simple.”
“Small businesses like mine put our money back into our operations which keeps jobs, investment and tax dollars right here in our own communities,” said Eric Henry, president of TS Designs, a T-shirt manufacturer in Burlington, NC. “The corporate tax code should not give incentives to U.S. multinational corporations to hide their revenues offshore and avoid paying their fair share.”
Last year, corporate taxes accounted for less than 8 percent of federal tax revenues – way down from 32 percent in 1952. Corporations are not paying their fair share for the public infrastructure and services they depend on.
ReShonda Young, operations manager of Alpha Express, Inc, a family business that provides local, regional and national delivery service, based in Waterloo, Iowa, said, “We’re not afraid to compete with the biggest delivery companies out there, but it needs to be a fair fight, not one in which big corporations use loopholes to avoid their taxes, stick our business with the tab, and rob our nation of the resources we need for a healthy economy.”
“Job creation is driven by customer demand, not tax cuts,” said Josh Knauer, president and CEO of Rhiza Labs, a Pittsburgh-based software company. “Tax dollars were a vital component in America’s past innovations and infrastructure, fostering economic success. Tax dollars remain a vital component of our economy today.”
More than 600 business owners and executives, including those quoted above, signed a letter sent by the American Sustainable Business Council, Business for Shared Prosperity and the Main Street Alliance to Congress and the President last week, saying they “want a tax system that is fair and provides sufficient revenue for the public services and infrastructure that underpin our economy. When powerful large U.S. corporations avoid their fair share of taxes, they undermine U.S. competitiveness, contribute to the national debt and shift more of the tax burden to domestic businesses, especially small businesses that create most of the new jobs.”
“It’s time for Plan C: revenue positive corporate tax reform that calls upon our largest corporations to pay their fair share and once again invest in America, which has invested so much in their success,” said Scott Klinger, tax policy director of Business for Shared Prosperity and the American Sustainable Business Council.