ATR vs. Reality: Corporate Tax Rates
On May 4, 2009, in response to President Obama's tax reform proposal, Grover Norquist's Americans for Tax Reform claimed our country's corporate tax rate is the highest in the "developed world." However ATR fails to note our effective corporate tax rate (what companies actually pay) is lower than Germany, Canada, Japan and Italy. On top of that, 80% of U.S. companies don't pay taxes at all.
Americans for Tax Reform: "America has the highest corporate income tax rate in the developed world." [ATR.org, 5/4/09]
REALITY: The United States has a lower effective corporate tax rate than developed countries such as Germany, Canada, Japan and Italy. On top of that, 80% of U.S. companies don't pay taxes at all. [World Bank-International Finance Corporation, 2009; Congressional Quarterly, 8/12/08]
