Nobel Prize winning economist Joseph E. Stiglitz discussed the problem of large corporations using tax loop holes to avoid paying taxes and how by closing those loop holes could be a cure for inequality and a faltering economy.
Stiglitz tells Bill that Apple, Google, GE and a host of other Fortune 500 companies are creating what amounts to “an unlimited IRA for corporations.” The result? Vast amounts of lost revenue for our treasury and the exporting of much-needed jobs to other countries.
“I think we can use our tax system to create a better society, to be an expression of our true values.” Stiglitz says. “But if people don’t think that their tax system is fair, they’re not going to want to contribute. It’s going to be difficult to get them to pay. And, unfortunately, right now, our tax system is neither fair nor efficient.”
Transcript can be read here
Dr. Stiglitz’s paper, Reforming Taxation to Promote Growth and Equity, can be read here (pdf).
Seven Key Takeaways From Joseph E. Stiglitz’s Tax Plan for Growth and Equality
1. Raise Corporate Income Tax Rates While Providing Incentives for Investments and Job Creation in the US. [..]
2. Reduce Spending on Corporate Welfare [..]
3. Tax the Financial Sector [..]
4. Tax on Monopolies and Other Rent-Based Enterprises [..]
5. Ensure that Multinationals Pay Their Fair Share of Taxes and Have Incentives to Invest in America [..]
6. Tax Monopolies and Other Rent-Based Enterprises [..]
7. Make Dividend Payments Tax Deductible, But Impose a Withholding Tax [..]