Clinton Administrations Proposal To Increase Taxes Essay

This essay has a total of 580 words and 3 pages.

Clinton Administrations Proposal To Increase Taxes For Multinational

Clinton Administration's Proposal to Increase Taxes for Multinational

My topic is the increase if the taxes which Clinton Administration is
planning. This increase in taxes will target "multinational Corporations, end
the favored tax treatment of extra long term bonds", It will also raise capital
gains taxes by "changing the rules for computing the cost basis of securities
when they are sold at a profit". What this will do is increase the taxes for the
rich and will decrease the difference between the rich and the poor. The plan is
intent on cutting the middle class tax and finance higher education (yeah right).
The current tax law decreases the Federal Treasury Revenue and makes the economy
less efficient or less competitive.
The multinational tax would disallow multinationals to assume half of
their goods are foreign even if they are made in the US. Thus they could export
to a country with low taxes and thus pay less taxes. This change would bring an
increase of 7.9 Billion in corporate taxes over the next 5 years.
This withdraws a lot of money from the economy and may thus decrease
demand for goods, as people have less money to spend. The multinationals would
employ many people and with and increase in their cost (tax is a type of cost)
they would be forced to decrease the average amount of wages which the their
Continues for 2 more pages >>