CHATTANOOGA, TN-In a speech on Tuesday at an Amazon warehouse here, President Barack Obama called for a restructuring of the corporate tax system, favored by Republicans, in exchange for the revenues created by those changes being earmarked for job creation projects.
In a shift in policy, the President proposed to reduce corporate tax rates from 35% to 28%. Manufacturers would be taxed at an effective tax rate of 25% under the president's plan, according to the Associated Press. President Obama in exchange for the tax overhaul wants to direct revenue generated from the changes to manufacturing, infrastructure and community college job creation projects.
“I don't want to go through the same old arguments where I propose an idea and the Republicans just say no because it's my idea," President Obama said. "I'm going to try offering something that serious people in both parties should be able to support: A deal that simplifies the tax code for our businesses and creates good jobs with good wages for middle-class folks who work at those businesses."
Reaction from the GOP to the President's new economic plan was mixed, according to published reports. See story in the Wall Street Journal.
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