For all the game playing on Wall Street- and in Congress, there really hasn’t been any serious discussion on how to get U.S. companies to stop hoarding cash and doing M&A. And the talk about tariffs on trading partners gets squashed the moment that you realize it will raise prices on everything in the U.S.- something our working poor can ill afford right now.
It’s well known that American companies have been playing games with corporate taxes- Google used a Bermuda subsidiary to end up paying 0 in U.S. corporate taxes- other American companies- like GE- make no money in the USA according to their accounting tricks.The system has been co-opted, it does not work.
It’s time to make it profitable to employ people in this country again.
Let’s start with raising the maximum U.S. corporate tax rate to something like 50% – and then give breaks based on how many U.S.-based employees you have (non-executive). We also have to look at who makes your products- designing them here- to have them built in China doesn’t mean those people don’t work for you (Apple, GM, Bank Of America with your Indian back office).
The second part of this equation would be taxes on benefits and perks- lavish executive perks packages would be taxed based on the perks offered the employees. If you don’t offer health insurance to your employees- you don’t get it pre-tax. If you don’t give stock to employees – it’s taxed as personal income, not at capital gains rates. Last but not least, give tax breaks to the rich who employ Americans- and tax the hell out of those who offshore their labor forces.
We’re all in this together- and if American’s aren’t working- America isn’t working.
Your thoughts? How do we put Americans back to work?