Comment by stjeanluc

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stjeanluc
December 13th, 2017 at 5:21 pm

Maybe people will soon realize how bad of deal this tax cut is:

http://prospect.org/article/trump-lamented-loss-oreo-jobs-mexico-his-tax-bill-could-make-more-jobs-go-south

Meanwhile, the Republican tax plan that Trump has sold as a tremendous deal for the middle class might actually encourage companies to move their domestic operations—and jobs—abroad. One provision in the tax plan would establish a “territorial” system for taxing foreign profits, which would make it much easier for corporations to avoid international taxation and could actually spur companies to move operations abroad.

Kimberly Clausing, an economics professor at Reed College, writes: “Unlike the present system, which taxes companies on their foreign income once it is repatriated to the United States, a territorial tax system exempts foreign income from U.S. taxation. This tilts the playing field even further toward doing business abroad rather than at home, since there will always be countries with lower rates. A territorial system makes explicit, and permanent, the preference for foreign income over domestic income. It also accelerates the profit shifting behind our corporate tax base erosion problem. That is hardly an ‘America first’ policy.”

But probably only after they lose their jobs, pension and health insurance.