Isn’t This What A Stimulus Should Be – Ri Gov Wants To Phase Out Corporate Income Tax?

by admin on December 11, 2009

http://finance.yahoo.com/news/RI-gov-pro…
PROVIDENCE, R.I. (AP) — Gov. Don Carcieri proposed Tuesday phasing out Rhode Island’s corporate income and estate taxes and cutting personal income tax rates, saying it would spur the economy and create jobs in a recession-stung state with 10 percent unemployment.
Carcieri described the tax-cutting proposals in his seventh annual State of the State address as one fix for a bitter recession that wiped out 22,000 jobs last year, decimated home prices and pushed the state budget deep into the red.
Unemployment hit 10 percent in December, making Rhode Island the second-worst performer behind Michigan.

{ 8 comments… read them below or add one }

Drew Bloodsd December 11, 2009 at 3:55 pm

What liberals fail to understand……….
A. Lower corporate taxes
B. Lower taxes means more money to put back into the company.
C. More money back into the company means the potential for growth.
D. Growth means hiring more employees (creating jobs)
E. More jobs means more revenue for the company.
F. More revenue for the company means higher profits.
G. Higher profits means more tax revenue.
H. And more tax revenue is the whole idea, right?
Why do democrats and liberals find this so hard to understand?

swarovski rhinestones December 11, 2009 at 10:35 pm

Yes. What so many don’t realize is that the resons companies go oversees is because the US has one of the highest corporate tax rates in the world (if not the highest). We tax so much that it is cheaper to build overseas and pay to have the product shipped back here.
Tax cuts for businesses always work when they are tried (and not linked to new regulations that operate the same as taxes).

bellatru December 12, 2009 at 1:19 am

I live in Michigan, do you know WHY Michigan is So Bad???
Because of a Pathetic Democratic Governor who has done Nothing But Raise Taxes and Drive Businesses Out of Michigan!
But don’t worry Obama was getting advice from Gov. Granholm on how to do what she did all over the country, so every other state can eventually be as bad off as we are.

lymanspo December 12, 2009 at 1:56 am

How about a $20,000.00 tax credit for each hired employee for the business owner……unless there are stipulations on this tax break , business will abuse this…..What is RI trying to do, pull the rug out from Delaware? (a corporate haven…)
Doesn’t RI politicians=corruption anyway?

jdm December 12, 2009 at 3:25 am

TO SHILO:
The highest corporate tax rate in the industrialized world (well, world, period) is what drives companies to send jobs overseas. I’d argue that adding a tax credit/break to those who move jobs BACK into the US would do even more.

as.erwin December 12, 2009 at 8:25 am

Here is an even better one!
Get rid of ALL income tax!

Thomas December 12, 2009 at 11:09 am

The only problem is that by giving Corporations more money there is nothing stopping them from using the money to create new jobs OVERSEAS.

musicman December 12, 2009 at 2:03 pm

Common-sense escapes many supporters. They believe the government knows what they’re doing…they have “hope” and a hunch to cling to.

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