Do tax cuts for corporations and the super-rich create jobs?
The Institute for Policy Studies looked at 92 large U.S. companies that recorded a profit from 2008-2015. These companies paid less than 20 percent of earnings in federal income taxes. Their median job growth was negative 1 percent. They paid well below the 35 percent corporate tax rate, recorded significant profits, and they shed 483,000 jobs.
Let’s drill-it-down and look at AT&T for example. Between 2008-2015, AT&T exploited existing corporate tax loopholes and paid a tax rate of only 8 percent. Did that low rate mean more jobs? Between 2008-2015 AT&T reduced its workforce by 80,000 jobs. So much for the job creator myth. It used the tax savings to buy back its stock and artificially inflate the share price. It reduced its tax-rate by 27 percent and then cut jobs. No trickle-down effect and no job creation.
The House, with the help of Reps. Rob Bishop, Mia Love, Chris Stewart and John Curtis, passed the Tax Cuts and Jobs Act. It adds $1.5 trillion to our debt. It should be called: The Billionaire Tax Cut and Jobs Axed Act.
Shame on them.
John Nelson, Wellsville