Obama Proposes Corporate Tax Cut

    WASHINGTON, DC - NOVEMBER 21:  U.S. President Barack Obama delivers remarks before signing legislation into law that will provide business tax credits to help put veterans back to work during a ceremony at the Eisenhower Executive Office Building November 21, 2011 in Washington, DC. The first element of the president's jobs package, the bill passed the House 422-0, six days after the Senate passed it 95-0. The jobless rate for veterans of the Iraq and Afghanistan wars is 12.1 percent, White House officials said, compared with 9 percent for the population at large. The law would give businesses a tax credit of as much as $9,000 if they hired a disabled veteran who had been out of work for more than six months, a $5,600 credit for hiring any veteran unemployed for at least six months and $2,400 for hiring a veteran out of work for at least a month.  (Photo by Chip Somodevilla/Getty Images)

    Chip Somodevilla / Getty Images

    President Obama on Wednesday proposed cutting the corporate tax rate to 28 percent, but he said the elimination of many popular loopholes that companies enjoy would actually increase the amount paid to the federal government. Obama called the current U.S. tax code “outdated, unfair, and inefficient” as it famously allows many large companies to use loopholes to pay far less despite that its stated 35 percent sounds higher than many other countries. The plan also lowered the maximum rate for manufactures down to 25 percent and expanded some deductions, including for research and clean-energy tax credits. Mitt Romney countered with his own plan to cut taxes down 20 percent for individuals, and capping the individual income tax rate at 28 percent.

    Read it at The Wall Street Journal