As Other Industrialized Countries Cut Corporate Taxes, U.S. Rate Remains High
August 6, 2009
Canada, the Czech Republic, Korea, and Sweden all cut their corporate tax rates in 2009, distancing the United States even further from the pack with its combined federal and state rate of 39.1 percent—second only to Japan for the highest corporate tax rate among nations in the Organization for Economic Cooperation and Development (OECD). A Tax Foundation analysis of new OECD data finds that 2009 marks the 12th consecutive year in which the U.S. corporate tax rate is higher than the average rate among non-U.S. OECD nations—and roughly 50 percent higher than that of a mid-ranked country such as Sweden.
(Click chart to enlarge)
“U.S. lawmakers must take note of these global trends and take steps to make the U.S. corporate tax system competitive with its major trading partners. If they don’t, we risk continuing to fall behind in the global race to attract capital, jobs, and economic growth,” write Tax Foundation President Scott Hodge and Summer Fellow André Dammert, who authored Tax Foundation Fiscal Fact No. 184, “U.S. Lags While Competitors Accelerate Corporate Income Tax Reform.”
Read ” U.S. Lags While Competitors Accelerate Corporate Income Tax Reform.” Read more on corporate taxes or learn about the CompeteUSA campaign.