No to Corporate Tax Holidays
Congress is poised to pass legislation granting a "tax holiday" for hundreds of U.S. corporations. Everyone is in favor of more holidays right?
Not so fast. A similar tax holiday in 2004 enabled 843 companies to reduce their tax rate from 35 percent to just over 5 percent. These companies repatriated $312 billion in profits – and avoided $92 billion in federal taxes. What did we get in return? Not much.
58 corporations that benefitted from the holiday slashed a total of nearly 600,000 jobs through layoffs while they collectively saved $64 billion (70% of the total tax break) from what they otherwise would have owed in taxes.
A coalition of large companies, called Working to Invest Now in America (WIN America), is now lobbying for another "tax holiday." They have spent more than $50 million to win this special tax break, which could potentially cost U.S. taxpayers over $78 billion in lost revenue.
We need you to help us fight back. While we don't have $50 million, we have something more valuable -- grassroots activists like you. Can you take 2 minutes and send an email to your member of congress and say no to corproate tax holidays?
Thanks for all you do,
Sarah Anderson, Chuck Collins, John Cavanagh, Scott Klinger, Sam Pizzigati, and the rest of IPS