“We need to stop nipping at the edges of our nation’s tax code and start working on sensible, system-wide tax reform that helps to get our economy firing on all cylinders again.”
WASHINGTON – Sen. Mike Johanns (R-Neb.) today issued the following statement after Treasury Secretary Timothy Geithner outlined President Obama’s corporate tax plan:
“After hearing the President talk nonstop about raising taxes for three years, it’s nice to hear the Administration finally acknowledge the idea that it helps our economy when tax rates go in the other direction – a notion I hope the President will apply to spending,” Johanns said. “I agree that we need to lower rates and simplify our tax code, but doing that – as the President’s plan proposes – shouldn’t be about Washington picking winners and losers based on political ideology.
“We need to stop nipping at the edges of our nation’s tax code and start working on sensible, system-wide tax reform that helps get our economy firing on all cylinders again. Unfortunately, the President’s plan is long on campaign promises, scarce on key details and short on the Presidential leadership we need to tackle the country’s most difficult problems.”
The plan announced today by Geithner proposes a 28 percent corporate tax rate, while closing loopholes, which would result in a net tax increase on many corporations. The plan also puts forward the idea of a global minimum tax on American corporations with overseas operations. The Administration’s plan calls for higher taxes on oil and gas companies, costs that would be passed on to consumers when gas prices are already at historic levels.