Tuesday 25th October 2016

Home » Frontpage » Currently Reading:

Abolish The Corporate Income Tax!

May 18, 2014 Frontpage No Comments


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, Cong. Jack Kemp urged the creation of enterprise zones in poor communities like Benton Harbor, Mich., and Harlan County, Ky. 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If the corporate income tax were repealed, no U.S. company would think of moving abroad, and every transnational company would think about moving to the USA.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.

Share Button

2016 The Wanderer Printing Co.

Live From New York Should a Catholic Vote for Hillary or Trump?

Almighty God has been very good  in giving us as the day’s Gospel passage that of Our Lord’s famous admonition to “render to Caesar what is Caesar’s but to God what is God’s.” I say that in view of the…Continue Reading

Catholic university blasts ‘Unborn Lives Matter’ posters as ‘bigotry,’ bans them on campus

CHICAGO, Illinois, October 18, 2016 (LifeSiteNews) – College Republicans at DePaul University were prohibited by the university president from displaying posters on campus advertising their group with the pro-life message, “Unborn Lives Matter.” Vincentian Father Dennis Holtschneider indicated to the…Continue Reading

For Archbishop Chaput, ‘Catholic Spring’ group did untold damage

Philadelphia, Pa., Oct 14, 2016 / 05:53 pm (CNA).- Archbishop Charles J. Chaput did not enjoy his first and only encounter with two leaders of Catholics United. “It was an interesting experience,” Archbishop Chaput recounted in his Oct. 13 column…Continue Reading

The anti-Catholic Catholics (and the bishops who support them)

Yesterday Ross Douthat of the New York Times embarked on a lengthy Tweetstorm —21 tweets in all—questioning whether it’s accurate to refer to the leaked emails from the Clinton campaign as evidence of “anti-Catholic” bigotry. Douthat—who is no friend of…Continue Reading

The next ‘deplorables’? Clinton campaign rips ‘backwards’ Catholic beliefs in leaked e-mails

WASHINGTON, D.C., October 11, 2016 (LifeSiteNews) – “Conservative Catholics” are the latest Americans to be smeared by members of Democrat presidential candidate Hillary Clinton’s campaign, leaked emails revealed on Tuesday show. Catholic beliefs are bashed as “backwards” and conservative Catholics…Continue Reading

German Bishop’s New Proposal: “There Exists More Than Man and Woman”

The Catholic Church in Germany seems to be becoming more and more unbounded in its proposals. In the recent past, for examples, the official website of the German Bishops’ Conference, katholisch.de, has reported about the idea to have women cardinals; about…Continue Reading

Cardinal Sarah presents counter-vision to Francis as he launches new book

After being reprimanded by Pope Francis over the summer for calling on priests to face east while saying Mass, Cardinal Robert Sarah is refusing to back down and is becoming a rallying point of opposition to this papacy.  The Vatican’s…Continue Reading

Massachusetts’ highest court grants full parental rights to unmarried gay woman

BOSTON – The Mass. court that paved the way for same-sex marriage in the United States ruled Tuesday that an unmarried gay woman whose former girlfriend gave birth to two children through artificial insemination has the same parental rights as…Continue Reading

Shunned for supporting natural marriage, former Mozilla CEO is back with new browser

SAN FRANCISCO, September 28, 2016 (LifeSiteNews) — The former CEO of Mozilla has released a new Internet browser called Brave. Brendan Eich, the creator of JavaScript, continues to lead the technological revolution with Brave, an innovative concept in Internet browsers.…Continue Reading

Lay Catholic Group: Tim Kaine’s Radical Views Stem From Embrace of Liberation Theology

An organization of committed lay Catholics is challenging Democratic vice presidential nominee Tim Kaine, who’s invoking his Catholic faith and the words of Pope Francis as a basis for his radical positions on abortion and marriage, as well as his…Continue Reading

Quebec cardinal won’t refuse funerals for those choosing assisted suicide

Cardinal Gerald Lacroix of Quebec said he has no intention to follow in the steps of his fellow Canadian bishops of Alberta and the Northwest Territories in refusing funerals for those who asked to be euthanized. “I don’t plan specific…Continue Reading

Shocking Report Reveals Scientists Have Created the Word’s First Baby With Three-Parents

A shocking new report claims the world’s first three-parent baby (pictured above) has been born. Children born through ‘three-person IVF’ would contain some genetic material from each of three different people. There are about 50 known mitochondrial diseases (MCDs), which…Continue Reading


Untitled 5 Untitled 2

Attention Readers:

  Welcome to our new website. Readers who are familiar with The Wanderer know we have been providing Catholic news and orthodox commentary for over 145 years in our weekly print edition. Now we are introducing the online daily version of our print journal.

  Our daily version offers only some of what we publish weekly in print. To take advantage of everything The Wanderer publishes, we encourage you to su
bscribe to our flagship weekly print edition, which is mailed every Friday or, if you want to view it in its entirety online, you can subscribe to the E-edition, which is a replica of the print edition.
  Our daily edition includes: a selection of material from recent issues of our print edition, news stories updated daily from renowned news sources, access to archives from The Wanderer from the past 10 years, available at a minimum charge (this will be expanded as time goes on). Also: regularly updated features where we go back in time and highlight various columns and news items covered in The Wanderer over the past 145 years. And: a comments section in which your remarks are encouraged, both good and bad, including suggestions.
  We encourage you to become a daily visitor to our site. If you appreciate our site, tell your friends. As Catholics we must band together to rediscover our faith and share it with the world if we are to effectively counter a society whose moral culture seems to have no boundaries and a government whose rapidly extending reach threatens to extinguish the rights of people of faith to practice their religion (witness the HHS mandate). Now more than ever, vehicles like The Wanderer are needed for clarification and guidance on the issues of the day.

Catholic, conservative, orthodox, and loyal to the Magisterium have been this journal’s hallmarks for five generations. God willing, our message will continue well into this century and beyond.

Joseph Matt
President, The Wanderer Printing Co.

Untitled 1

Enter Comments Below

This Weeks Comments And Letters . . .

Culture Of Life 101 . . . “An Introduction To The Problem Of Euthanasia”

By BRIAN CLOWES Part 2 (Editor’s Note: Brian Clowes has been director of research and training at Human Life International since 1995. For an electronic copy of chapter 23 of The Facts of Life, a 150-page treatise on all of the aspects of euthanasia, e-mail him at bclowes@hli.org.) + + + We have covered the definitions of the varieties of…Continue Reading

Today . . .

Planned Parenthood rips proposal to require father’s consent for abortion

SOUTH CAROLINA, October 21, 2016 (LifeSiteNews) – The South Carolina Department of Health and Environmental Control (SCDHEC) is walking back suggestions it made last month that fathers of pre-born children consent for their mothers to abort them. The proposed regulations would possibly update abortion accident reporting requirements, requirements for abortion licensure, “complaint reporting, patient rights, infection control,” “record maintenance,” and “fire and life safety requirements,” according to the SCDHEC, which is accepting public comment on…Continue Reading

Philadelphia Archbishop Chaput welcomes ‘smaller church’ of holier Catholics

(RNS) In a stark prognosis for contemporary Catholicism, a leader of the conservative wing of the U.S. hierarchy has said that “a smaller, lighter church” of fewer but holier believers is preferable to one that promotes inclusion at the expense of traditional orthodoxy. In a speech delivered Wednesday (Oct. 19) at the University of Notre Dame, Philadelphia Archbishop Charles Chaput also suggested that many prominent Catholics are so weak in their faith that they ought…Continue Reading

Kansas archbishop blasts Kaine: He’s an ‘orthodox’ Democrat but a ‘cafeteria Catholic’


KANSAS CITY, Kansas, October 17, 2016 (LifeSiteNews) — The archbishop of Kansas City, Kansas, has lambasted Democratic vice presidential nominee Sen. Tim Kaine for supporting abortion on demand while simultaneously touting his Catholic faith. Kaine is an “orthodox” Democrat but only a “cafeteria Catholic” who picks and chooses “the teachings of the Catholic Church that are politically convenient,” Archbishop Joseph Naumann wrote in a devastating critique of the Virginia senator. “It was painful to listen…Continue Reading

U.S. Catholics Under Attack

WikiLeaks did it again with another e-mail release, 1,200 of them, and this time exposing the deliberate attempts by the Clinton campaign to disrupt, undermine and, yes, try to destroy the Catholic Church. Their intent was (is) to plant the “seeds of the revolution” within the institution. Among the e-mails are communications between Clinton operatives that are clearly filled with bigotry. If anyone had any doubt that Hillary Clinton and the people around her have…Continue Reading

Fake Catholic Groups and the “Catholic Spring” Emails


It is now impossible to deny that Catholics in Alliance for the Common Good and Catholics United have worked for years to undermine and manipulate Catholic leadership Beginning in 2007, orthodox Catholic writers including myself wrote dozens of articles in an attempt to expose the funding and duplicitousness of two fake Catholic groups: the George Soros-funded Catholics in Alliance for the Common Good and Catholics United. (For example, see here and here and here.) Now,…Continue Reading

A Movie Review . . . Coming To God In An Unconventional Way

By REY FLORES “I see you dressed in white. Every wrong made right. I see a rose in bloom. At the sight of you (oh so priceless). Irreplaceable, unmistakable, incomparable. I see it all in you (oh so priceless).” The above are the closing lyrics for the song Priceless by country duo For King &…Continue Reading

A Disillusioned Marxist Professor

By JAMES K. FITZPATRICK I spent much of my adult life observing left-wing academics who professed a fondness for socialism in one form or another. Some were my professors, others colleagues. More than a few were New Left Marxists who spoke openly in admiration of Mao, Fidel Castro, and the Sandinistas. One woman I taught…Continue Reading

The March To Totalitarianism

By DONALD DeMARCO Hannah Arendt, best known for her denunciation of totalitarianism in her book, Eichmann in Jerusalem, has made the comment that “the aim of totalitarian education has never been to instill convictions but to destroy the capacity to form any.” Totalitarianism can appeal only to the unthinking masses. A true education, let it…Continue Reading

Culture Of Life 101 . . . “Advance Medical Directives: The Living Will”

By BRIAN CLOWES (Editor’s Note: Brian Clowes has been director of research and training at Human Life International since 1995. For an electronic copy of chapter 23 of The Facts of Life, “Euthanasia,” e-mail him at bclowes@hli.org.) + + + “Evil committed for a good cause remains evil.” “Even when it succeeds?” “Above all when…Continue Reading

The Joke’s On Us

By DONALD DeMARCO The definitive Jack Benny joke is well known. Originally aired in a March 28, 1948 episode, the legendary comedian is accosted by a mugger and given the option, “Your money or your life!” A long pause follows. The gunman reiterates, “Look, bud! I said your money or your life?” Benny replies, “I’m…Continue Reading


Our Catholic Faith (Section B of print edition)

A Leaven In The World… Pray Always And Never Grow Weary

By FR. KEVIN M. CUSICK A moment of dawning experience when I was young gave birth to a nearly perfect prayer. This farewell to innocence of which I speak was a blessing. In the light of it I came to know the presence of God through His goodness which is the heart of prayer in the life of faith. I…Continue Reading

What Is Faith?… Other Attributes Of God

By RAYMOND DE SOUZA Part 8 “I love thee, Lord, my strength. The Lord is my rock, my fortress and my deliverer; my God is my rock, in whom I take refuge, my shield and the horn of my salvation, my stronghold” (Psalm 18:1-2). The enthusiasm with which the psalmist praises God our Lord comes from his knowledge of God’s…Continue Reading

Confirmation In The Economy Of Salvation

By DON FIER Part 2 In the introductory paragraph of its section on the Sacrament of Confirmation, the Roman Catechism [RC], promulgated in 1566 by Pope St. Pius V soon after the Council of Trent, are the following words: “If there was ever a time when the Sacrament of Confirmation needed to be explained carefully, that time is now. All…Continue Reading

Catholic Replies

Editor’s Note: J.H.T. of North Carolina, a deacon who has been a witness to the “liturgical wars” of the past half-century, has recommended an “extraordinary book” — Peter Kwasniewski’s Resurgent in the Midst of Crisis: Sacred Liturgy, the Traditional Latin Mass, and Renewal in the Church — that he says should be read by all Catholics, clergy and lay, who…Continue Reading

The Lover Of Souls

By FR. ROBERT ALTIER Thirty-First Sunday In Ordinary Time (YR C) Readings: Wisdom 11:22-12 2 Thess. 1:11-2:2 Luke 19:1-10 In the first reading today, we are given a good perspective on things: Before the Lord, the entire universe is less than a drop of morning dew on the Earth. When we consider one tiny drop of dew in comparison to…Continue Reading

Blessed Giuseppe Puglisi

By CAROLE BRESLIN When a society is riddled with evil and corruption, the worst thing we can do is to remain quiet. If we truly believe in God, then it is our obligation to do all we can to save the souls in danger of being lost in such a society. The threats and dangers of this world are not…Continue Reading

Catholic Heroes… St. Gerard Majella

By CAROLE BRESLIN God works many miracles through the weakest persons so that their lives read like a fairy tale. Old or young, sick or poor, powerful or destitute, all are touched deeply by their encounters with such men of God. Such was the life of St. Gerard Majella, the patron saint of expectant mothers and young children. Domenica, a…Continue Reading