January 9, 2011
TAX WHAT YOU DON'T WANT:
Tracing the Japanese Tax Experiment (Brian Koenig, 1/08/11, RCM)
On December 16, 2010, Prime Minister Naoto Kan approved a five percent cut on Japan's corporate tax, lowering the rate to under 35 percent.Posted by Orrin Judd at January 9, 2011 9:39 AM
Iceland's corporate tax rate currently stands at 18 percent; Poland 19 percent; Sweden 25 percent; and Mexico 28 percent. Overall, the average corporate tax rate among OECD nations hovers around 27 percent, with the United States a whole 12 percentage points higher than the international average.
Japan's reformed tax policy will earn the United States the gold medal for the highest tax on business profits, giving American businesses the steepest tax burden in the industrialized world.
According to Trade Minister Akihiro Ohata, Prime Minister Kan's directive is to "lower corporate tax rates that are too high compared with international standards, and to create a world-class investment environment."