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The Case for Corporate Income Tax Cuts

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Publication Date: September 2008

Publisher(s): National Center for Policy Analysis (U.S.)

Author(s): Mehreen Younis

Funder(s): National Center for Policy Analysis (U.S.)

Funder(s): National Center for Policy Analysis (U.S.)

Topic: Banking and finance (Taxation and tax policy)

Keywords: Corporate Tax; Revenue; Investment

Type: Brief

Coverage: United States

Abstract:

Globalization and capital mobility are increasing tax competition among countries. Lower tax rates increase aftertax returns to capital, raising economic growth rates. They can also make economies more attractive for foreign investment. Furthermore, lower taxes on capital are generally associated with increased government tax revenues.