American Spectator has a great article on reasons to reform the corporate tax code.
The tax code as written unfairly benefits the big corporations at the expense of their smaller competition that can’t afford the lobbyists and lawyers needed to push for huge tax-breaks, carve-outs, and favorable loans and loan guarantees…defined as cronyism.
As the article author notes…
“A 2015 report found that, over the previous 15 years, Congress doled out more than $68 billion in corporate welfare through targeted tax breaks and grants. This amount does not even include the trillions of dollars that Congress has offered out in favorable loans and loan guarantees.
This same report also highlights another issue with the current tax cut-dependent system. Approximately 67 percent of the grants and tax breaks went to a small group of 582 large corporations, and 21 corporations received $500 million or more. Many smaller corporations cannot afford armies of lobbyists, and therefore are left out in the cold when Congress starts crafting tax breaks.” (bold & underline emphasis added)
One guess which Party gets the lion’s share of donations from those 582 corporations?
That’s right – the same Party bemoaning corporate tax code reform as favoring the rich.
A flat 15% rate without carve-outs puts every corporation on a more level playing field, and cuts back on the huge costs of legal teams massed to deal with existing code – so more funds can be used to invest in corporate growth…rather than tax-dodging.
If saving $68 billion isn’t enough reason for code reform…
…who would argue with less money going to tax-lawyers?
(Other than the Democrats, of course.)