In fact, there was no such surge in income after Congress slashed the corporate tax rate in the 1980s; nor was there in Britain as it cut its corporate tax rate in recent years. A Shrinking Burden In 50 years, corporate taxes have dropped as a share of gross domestic product. 8.4 Income taxes 8 7.3% 6 Payroll taxes 6.1 4.1 4 Corporate taxes 2 1.6 ’70s ’80s ’90s ’00s ’10s 10 PERCENT OF G.D.P. Income taxes 8.4 8 7.3% 6.1 6 Payroll taxes 4.1 4 3.9 Corporate taxes 2 1.6 1967 ’70s ’80s ’90s ’00s ’10s ’16So what would true reform look like? She argues that the United States and other countries ought to tax profits that corporations earn from sales inside their borders, similar to the way American states now tax corporate profits.

Source: New York Times November 13, 2017 01:18 UTC