February 22nd, 2012
05:00 AM ET
3 years ago

Obama to offer corporate tax reform plan

Washington (CNN) - The Treasury Department will unveil President Barack Obama's corporate tax reform plan Wednesday - a framework that would reduce the overall rate paid by corporations, a senior administration official told CNN.

The President's tax plan is intended to "enhance American competitiveness by simplifying the tax code and eliminating dozens of tax loopholes and subsidies, incentivizing job creation and investment here at home and lowering the business rate while broadening the tax base," the official said.

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Filed under: Economy • President Obama • Taxes • Treasury
soundoff (76 Responses)
  1. DaveF

    And the GOP will say "no" because....

    February 22, 2012 07:40 am at 7:40 am |
  2. Anonymous

    Since this was once a proposal supported by Republicans in the past, we can be quite sure they will hypocritically ignore that fact and attack the President for reasons that have no connection with reality.

    February 22, 2012 07:44 am at 7:44 am |
  3. Sage Sophos

    Thats good news!!! reward those who wants to manufacture in America after all this over hyped high tech gives firms short term competitive advantage before its duplicated in the rest of the world. 28% will enable manufacturing of nuts and bolts again after all why send ore offshore only to import it later as nuts and bolts? we the people can do!!

    February 22, 2012 07:48 am at 7:48 am |
  4. J

    And it this were done in the first year of his term instead of during an election year I'd be impressed. Just trying to get re-elected any ole way he can.

    February 22, 2012 07:48 am at 7:48 am |
  5. diridi

    I love this president. We needed long time ago. we need Tax-Code reform, senate and congress term-limits, and anti-lobby reform...Obama2012.

    February 22, 2012 07:49 am at 7:49 am |
  6. Ken Andrews

    If, as Willard Romney says, "Corporations are people," they should pay the same 30% that I do. I would not like to be guilty of "discriminating" against someone, just because they were a different person than I.

    February 22, 2012 07:49 am at 7:49 am |
  7. Brian

    It's a good start. No way is he going to get everything he is asking for. So before people start commenting on how preposterous his plan is, just know it's all apart of the negotiating process. I don't think he'll get the minimum tax on foreign income, though. I think that would penalize the true global company. However, he may perhaps think about adding a one time amnesty for those companies hiding large profits oversees. Get that money back in the US so corporations can stimulate the private economy. That is what we really need right now. Growth.

    February 22, 2012 07:54 am at 7:54 am |
  8. duke5343

    Sure glad after he took office he is going after important issues like jobs and us corporations who supply jobs-OH Wait this is his 3rd year? Forgot how important it was to get Healthcare passed so they could SEE what was in it

    February 22, 2012 07:55 am at 7:55 am |
  9. John

    Closing tax loop holes to reduce the tax rate doesn't fix the problem with government spending. You need to curb government spending, thus allowing the corporate tax rate to be lowered to improve economic conditions.

    February 22, 2012 07:57 am at 7:57 am |
  10. DB

    TAX BREAKS!!!! Should be a no brainer for republicans, right!!! Let's see how this is spinned by the republicans, cause you know they are not about handing the president another reform to put on his resume....

    February 22, 2012 07:58 am at 7:58 am |
  11. Get a job Hippies

    This isnt a tax cut it is a tax increase!!! You know there will be a loophole in there for GE to shelter their overseas profits because old Jeffy gives him tons in campaign money. Congress make this a doa bill as it does nothing to help this country.

    February 22, 2012 08:00 am at 8:00 am |
  12. Steve

    If corporations are people, I think there needs to be a version of the AMT for them.

    February 22, 2012 08:00 am at 8:00 am |
  13. Ed 1

    This would want me to bring my business to America not try 15% and you would have more coming back.

    15% of something is better than 28% of nothing.

    We need to get real about fixing the tax codes and economy as always Obama and his spend and tax are way out of touch of what needs to be done.

    Number one stop spending what we don't have and using SS and Medicare as a scare tactic.

    I have put money in both for over 45 years and this is not an entitlement only to the people who are blinking the system out of billions of dollars who never put anything in.

    February 22, 2012 08:06 am at 8:06 am |
  14. Sid Airfoil

    Lower rates with fewer targeted deductions is a formula that "small-government" Republicans should love. It reduces the power of government to manipulate and interfere with the free market while (hopefully) being revenue-neutral overall. In theory it would attract businesses from overseas who would otherwise have to pay the top 35% rate because they get no special deductions (I think). Naturally, Obama has proposed NEW targeted deductions for his pet projects (renewable energy, etc.), but if this plan reduces such targeted deductions OVERALL, I would strongly support it.

    A flatter, broader tax system is what we need. Next they do the same with the personal income tax.

    Sid

    February 22, 2012 08:09 am at 8:09 am |
  15. GI Joe.

    Bet the party of NO says NO again – and again – and again – and ...................................

    February 22, 2012 08:10 am at 8:10 am |
  16. Mikey

    Let's see how the GOP treats this one. It's what they said they want, but when they are faced with actually ending lucrative loopholes for the corporations that fund their campaigns, will they change their toon?

    I'm waiting for the GOP lawmakers, talking heads on TV and radio, and bloggers to start trashing this one. Would that be the proof that they have been lying about tax reform or that the Obama bashing is pure power politics and nothing more?

    February 22, 2012 08:12 am at 8:12 am |
  17. Sean

    Why hasn't our government (Democrat or Republican) simplifyed the tax code, eliminated dozens of tax loopholes and subsidies, incentivize job creation and investment here at home years ago? Time for a new party...the "Common Sense" party!

    February 22, 2012 08:12 am at 8:12 am |
  18. Ronnie, from New Orleans Louisiana

    THATS THE WAY TO DO IT MY PRESIDENT OBAMA 2013!!!! Show these Republicans, Tea Baggers, and Conservatives, how a real President gets things done!! Show them with action, not just words, and please help the people in New Orleans figure out why we are still paying The Small Business Administration(SBA), back from Huricane Katrina damages when all these Big Buisnesses and Wall street, got breaks from stimulus, and New Orleans has been forgiven from paying all there loans back from Huricane Katrina except the Small Buisness and home owners and no one has yet investigated why New Orleans East flooded? Please put Mr Eric Holder on this one!!

    February 22, 2012 08:18 am at 8:18 am |
  19. Anti-GOP-DNC

    If the Plutocrats really wanted to fix the corporate tax rate, they should introduce two flat tax rates with absolutely NO deductions or subsidies. One for products 100% made in this country, and a higher one for anything made outside of this country. Neither party will (good luck with that, Republicans). That BS about small business owners is exactly the wind blowing. The corporate tax rate and all of the deductions is for the benefit of corporations and none of them pay the 35% rate. This is what drives small business owners crazy (and out of business), along with all of the 'fine print'. Both the personal tax rates and corporate rates could be fixed but it isn't going to happen. And, a note to all of you thoughtful 'representatives' – all of those manufacturing jobs that you allowed to go overseas for the profit of your masters on K-Street/Wall Street...........well, they paid taxes. It might be of slight interest to you while you continue increasing on your 15 trillion dollar debt. You may also want to study your history about Plutocracy. (Just a thought)

    February 22, 2012 08:20 am at 8:20 am |
  20. GaryB

    Politicians (particularly those on the right) get plenty of mileage reailing against the top corporate tax rate of 35%. But the fact is, almost no one pays that rate. The effective corporate tax rate in the U.S. (particularly for larger corporations) is actually quite competitive with most other industrialized countries. The biggest problem with the current tax code (beyond its complexity) is it tends to favor multinational corporations which may not have the best interests of the American people in mind. It appears that Obama's plan is attempting to address that fact, but who knows what it will look like if and when it makes it through Congress.

    February 22, 2012 08:25 am at 8:25 am |
  21. Dominican mama 4 Obama

    "Meanwhile, companies that choose to stay in America get hit with one of the highest tax rates in the world. It makes no sense, and everyone knows it. So let's change it. "
    ------------------------
    Right on Mr. President!! Even my staunch Republican co-workers were praising you this morning.
    I hope that my corporation feels incented to bring back our call center from Canada. Twenty employees lost their job when that decision was made in 2007.
    Meanwhile....You're looking crisp, focused, energized, and incentivized.
    We're with you sir. We pray, and give thanks for you. Keep up the good work.
    Obama 2012.

    February 22, 2012 08:44 am at 8:44 am |
  22. humtake

    He finally does something for the good of everyone instead of just pushing forward with the Democrat agenda. I like Obama, but man has he been stingy on helping the people.

    February 22, 2012 08:47 am at 8:47 am |
  23. jenny

    i thank thats bull obama has done nothing but mess the country up worse than what it already was he dont care if people work cause he has money.

    February 22, 2012 08:48 am at 8:48 am |
  24. Derek

    I know what his "corporate tax reform" plan is...Raise taxes on those evil corporations!!! Just like his whole "Healthcare Reform" was to raise taxes and costs on evil insurance companies.

    February 22, 2012 08:51 am at 8:51 am |
  25. Guest

    Anotherr big FlipFlop. I thought these were the evil people who are not paying their fair share. Really, people, how can you keep defending this empty suit, do whatever for a vote.

    February 22, 2012 09:07 am at 9:07 am |
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