Thursday, September 01, 2011

Kasich advocates lower taxes for bringing home foreign earnings

Governor John Kasich recently appeared on Fox News with Fred Thompson where he discussed an interesting new idea:

One idea I had that they want to think about - there is expected to be about a trillion dollars that companies have in profits that are sitting outside of America. And a lot of these companies would like to bring this money home but the tax rates are so high that they instead are investing in places other than America. I think the notion of letting them bring that money back here at either a low tax rate or maybe a one-time pass on that would be a stimulus plan that would make some sense. It doesn’t involve public money, it involves the money that the companies have made, the profits they could bring back and re-invest and maybe improve their workforce; to buy plants and equipment and things like that. And give them a greater sense of confidence so they are willing to jump in.

What do you think?

1 comment:

Mad Jack said...

I think it's a great idea, provided that the tax break is truly a single event, and that the profits are invested in infrastructure, R&D or some type of capital investment; my point being that stuffing one trillion dollars into a mattress doesn't do anyone any good.

I also think it will never happen.

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