Obama Administration Readies Plan to Drop Corporate Tax Rate

Obama Administration Readies Plan to Drop Corporate Tax Rate
The plan would eliminate dozens of tax breaks and reshape the current manufacturing deduction to reduce the tax rate on manufacturing to 25 percent, according to the official, who outlined the proposal on condition of rs gold because it hadn’t been released. The restructured tax code would still include incentives for buy runescape accounts and development and renewable energy.

President Barack Obama and Treasury Secretary runescape gold. Geithner have said corporate taxation is an issue that could provide an area for agreement with congressional Republicans and business groups.

“There is, I hope, more room for common ground on this, and we need to use this opportunity now to start to lay the foundation for the fundamental change ahead,” Geithner told the House Ways and buy runescape gold Committee on Feb. 15.

The plan may face opposition from Republicans who want net tax cuts, corporations who say the rate reduction should be deeper and companies that would lose tax breaks they now enjoy.Business groups, including the U.S. Chamber of Commerce, have spent the past three years criticizing the administration’s approach to international taxation, which has focused on making it harder for companies to defer U.S. taxes on income earned outside the country.International Competitiveness.“Countries around the world are promoting the international competitiveness of their companies and creating jobs by adopting modern tax laws that enhance the ability of their locally headquartered companies to serve foreign markets,” a coalition of business groups wrote to Obama on Feb. 8. They expressed concern Obama favors proposals that “would go in exactly the opposite direction,” raising taxes on U.S. companies with overseas operations.Geithner told the Ways and Means Committee the administration will propose retaining breaks that directly support U.S. investment at home. Treasury officials previously said the research and development tax credit should survive a tax-code overhaul.