New Podcast: Congressman Jim Jordan on the Economic Freedom Act of 2010
May 26, 2010
U.S. Rep. Jim Jordan (R-OH) has introduced H.R. 5029, or more commonly known as the Economic Freedom Act of 2010, which aims to boost the private sector economy by reducing the federal corporate income tax rate from 35 percent to 12.5 percent, cutting payroll taxes in half, eliminating the capital gains and estate taxes and providing immediate business expensing. The bill would also terminate the TARP and repeal the remaining stimulus. In this week's Tax Policy Podcast, I interview Congressman Jordan about this bill which serves as a stark contrast to the President and Congressional Majority's spending approach to the recession.
The United States currently has the second-highest corporate income tax rate among OECD nations, with a combined federal and state rate of 39.1%. Reducing the top rate to 12.5% would put the U.S. on par with Ireland as having the lowest rate among industrialized countries, which Congressman Jordan says he hopes will improve America's competitiveness abroad.
"We want business to stay here," he says. "So why not lower the corporate tax rate to attract business to keep our strong business sector right here in the United States of America?"