Mind and Destiny

“I make no pretension to patriotism. So long as my voice can be heard ... I will hold up America to the lightning scorn of moral indignation. In doing this, I shall feel myself discharging the duty of a true patriot; for he is a lover of his country who rebukes and does not excuse its sins. It is righteousness that exalteth a nation while sin is a reproach to any people.”- Frederick Douglass

Location: Delhi, N.Y., United States

The author and his webmaster, summer of 1965.

Wednesday, March 30, 2016

Trump's False Claim

Responding to a question during at a Republican presidential debate about his plan to cut taxes,  Donald Trump said: "If you look at what's going on, we have the highest taxes anywhere in the world.  We pay more business tax, we pay more personal tax."
Actually, America is ranked 17 out of 34 Organization for Economic Co-Operation and Development member countries for total tax revenue per capita in 2014.  OECD's 34 member countries are advanced, industrialized nations, which makes their data valuable in comparing the United States to similar countries.  
In America, the tax revenue per capita is $14,203.90.  In Luxembourg, the country with the highest tax revenue per capita, that rate is almost $50,000.  Norway's tax revenue per capita is more than $38,000.  Denmark, Sweden and Switzerland round out the top five countries with the highest tax revenue per capita.
China, Russia and India are not included in the OECD's list because they are not member countries.
America ranks even lower, when compared to the total tax revenue as a percentage of the country's gross domestic product.  Our country ranked 27th out of 34 OECD member countries in 2014.  America's tax revenue is 26 percent of the country's GDP.  Denmark tops the list, with its tax revenue being equal to 50 percent of the country’s GDP.
It's true our businesses face the highest official corporate tax rate, but that's not what many companies actually pay.  The Government Accountability Office found that large, profitable American corporations paid an average effective federal tax rate of 12.6 percent in 2010, thanks to things like tax credits, exemption, and offshore tax havens.
According to the OECD, our corporate tax collection totaled 2.6 percent of GDP in 2011.  That was the 11th lowest in a ranking of 27 wealthy nations.


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