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Posts Tagged ‘Biden Administration’

Biden and Janet Yellen Are Pushing a Global Minimum Tax Rate. The EU Is Very Pleased. | Mises Wire

Posted by M. C. on April 8, 2021

So, for at least a decade, EU politicians have openly complained that tax competition is “a threat to the European Union.” The regimes in the west don’t like having to deal with smaller, poorer regimes that can offer lower taxes to employers, investors, and producers.

https://mises.org/wire/biden-and-janet-yellen-are-pushing-global-minimum-tax-rate-eu-very-pleased

Ryan McMaken

It has long been a dream of central planners and interventionists to set global, uniform tax rates for all regimes. These globalists know that so long as sovereign states have the ability to freely set their own tax rates, some regimes are tempted to engage in “tax competition” in order to attract capital. When this happens “tax havens” allow companies and individuals to “shop around” in terms of where to put their productive wealth.

The antidote to this “problem,” we are told, is so-called tax harmonization. Under tax harmonization schemes, all governments are forced to impose a certain minimum tax rate so that high-tax countries need not compete with low-tax countries. Noncompliance comes with sanctions.

Without tax havens, of course, regimes have more freedom to raise taxes to ever higher levels because the gap between the high-tax regimes and low-tax regimes is significantly lessened.

So, it should surprise no one that President Biden’s Treasury secretary Janet Yellen is now pushing for a global minimum corporate tax, and for an increase to the US corporate taxes:

U.S. Treasury Secretary Janet Yellen on Monday urged the adoption of a minimum global corporate income tax, an effort to at least partially offset any disadvantages that might arise from the Biden administration’s proposed increase in the U.S. corporate tax rate.

Citing a “30-year race to the bottom” in which countries have slashed corporate tax rates in an effort to attract multinational businesses, Yellen said the Biden administration would work with other advanced economies in the Group of 20 to set a minimum.

Naturally, such a scheme doesn’t work without a means to punish countries that don’t cooperate. According to Reuters,

The U.S. plan envisages a 21% minimum corporate tax rate, coupled with eliminating exemptions on income from countries that do not enact a minimum tax to discourage the shifting of jobs and profits overseas.

In other words, “Biden’s corporate tax measure would also penalize other countries without a minimum corporate tax by more heavily taxing their subsidiaries in the U.S.”

A Long War on Tax Competition

The US’s new attack on tax havens and tax competition comes after years of attempts by the EU and the Organization for Economic Co-operation and Development (OECD) to impose enforceable minimum tax rates. The OECD is currently in the process of negotiating what Daniel Mitchell calls a “global high tax cartel.”

Moreover, the European Commission has been complaining for many years about low-tax member states within the bloc.

In early 2019, for example, European Commission president Jean-Claude Juncker pushed the idea of ending the ability of EU members to veto changes in tax policy so as to make tax rates across EU countries more equal. Ireland and Hungary, which have adopted low tax rates to attract businesses, have long opposed such effortsMalta has vehemently objected as well.

In the EU, France and Germany—the largest and most powerful states in the bloc—have pushed for an EU-wide corporate tax policy for years. Germany and France have already announced plans to bilaterally pursue a common corporate tax policy, but this is just the first step. The next step is to impose minimum tax rates on the rest of Europe as well.

Europe isn’t the only place where regimes have hoped to attract capital with low tax rates. Small island nations in the Caribbean also function as tax havens and have earned the ire of the European Union’s leadership.

In many ways, the effort to achieve tax harmonization is also a war on small countries, waged by big, powerful countries.

After all, small countries have limited tools in attracting capital. All else being equal, small countries that use small-time local currencies are at a disadvantage in a world of competing fiat currencies. Small countries also potentially have less access to ready labor and other inputs necessary for production. Finally, small countries are at a disadvantage when they are physically located far from other centers of capital. This is the case for many Caribbean and eastern European countries.

East vs. West and Rich vs. Poor

One way small countries can compete is by lowering corporate tax rates. This is partly why Ireland, Malta, and Hungary have all pursued low-tax policies. In fact, in 2019, Hungary slashed its corporate tax rate to 9 percent from 19 percent. Ireland—which has long been at the periphery of Europe and was considerably poorer than the rest of Western Europe as late as the early 1990s—has now become known for its relatively low corporate tax rate, which now stands at 12.5 percent. In contrast, France’s corporate tax rate as of 2020 was 32 percent. Germany’s rate was 29.9 percent. Indeed, it is no coincidence that the old established economies of the EU—France, Germany, Spain, Italy, and the Low Countries—all have higher corporate tax rates compared to the old Iron Curtain countries.

In Poland and Czechia, for example, the corporate tax rate is 19 percent. It’s 16 percent in Romania. Naturally, after the end of the Soviet Union, these countries sought to raise their standards of living and enter the global marketplace. One way to attract capital was to make their economies more attractive to foreign capitalists.

The rich west of Europe has never approved of this strategy.

So, for at least a decade, EU politicians have openly complained that tax competition is “a threat to the European Union.” The regimes in the west don’t like having to deal with smaller, poorer regimes that can offer lower taxes to employers, investors, and producers.

Now, it looks like the US is joining this effort to force smaller, poorer countries to raise their tax rates. The Trump administration threw a bit of a wrench in the EU’s plans to harmonize taxes when Trump was able to win approval of a corporate tax cut from 35 percent to 21 percent. That presented an indirect threat to the Franco-German plan to turn the industrialized world into one big high-tax bloc. But now with Biden in the White House, the US looks like its “ready to help” by raising US rates to a France-friendly 28 percent, and by also pushing for a new global tax regime. 

The high-tax regimes of the world will be more than happy to join in.  Author:

Contact Ryan McMaken

Ryan McMaken (@ryanmcmaken) is a senior editor at the Mises Institute. Send him your article submissions for the Mises Wire and Power&Market, but read article guidelines first. Ryan has degrees in economics and political science from the University of Colorado and was a housing economist for the State of Colorado. He is the author of Commie Cowboys: The Bourgeoisie and the Nation-State in the Western Genre.

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The Ron Paul Institute for Peace and Prosperity : Why is the Biden Administration Pushing Ukraine to Attack Russia?

Posted by M. C. on April 5, 2021

But according to the media branch of the US military-industrial-Congressional-media complex, Russian troop movements are not a response to clear threats from a neighbor, but instead are just more “Russian aggression.”

The unhinged US “experts” behind the 2014 coup against the elected Ukrainian president are back in power and they are determined to finish the job – even if it means World War III! The explicit US backing of Ukraine’s military ambitions in the region are a blank check to Kiev.

http://ronpaulinstitute.org/archives/featured-articles/2021/april/05/why-is-the-biden-administration-pushing-ukraine-to-attack-russia/?mc_cid=fed5c684b0

Written by Ron Paul Monday April 5, 2021
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On March 24th, Ukraine’s President Vladimir Zelensky signed what was essentially a declaration of war on Russia. In the document, titled Presidential Decree No. 117/2021, the US-backed Ukrainian leader declared that it is the official policy of Ukraine to take back Crimea from Russia.

The declaration that Ukraine would take back Crimea from Russia also followed, and was perhaps instigated by, President Biden’s inflammatory and foolish statement that “Crimea is Ukraine.”

US Secretary of State Antony Blinken, who was a chief architect of the US-backed coup against Ukraine in 2014, continued egging on the Ukrainians, promising full US support for the “territorial integrity” of Ukraine. Many Americans wonder why they are not even half as concerned about the territorial integrity of the United States!

Not to be outdone, at the beginning of this month US Defense Secretary Lloyd Austin – who previously served on the board of missile-maker Raytheon – called his counterpart in Ukraine and promised “unwavering US support for Ukraine’s sovereignty.” As the US considers Crimea to be Ukrainian territory, this is clearly a clear green light for Kiev to take military action.

Washington is also sending in weapons. Some 300 tons of new weapons have arrived in the past weeks and more is on the way.

As could be expected, Moscow has responded to Zelensky’s decree and to the increasingly bellicose rhetoric in Kiev and Washington by re-positioning troops and other military assets closer to its border with Ukraine. Does anyone doubt that if the US were in the same situation – for example, if China installed a hostile and aggressive government in Mexico – the Pentagon might move troops in a similar manner?

But according to the media branch of the US military-industrial-Congressional-media complex, Russian troop movements are not a response to clear threats from a neighbor, but instead are just more “Russian aggression.”

The unhinged US “experts” behind the 2014 coup against the elected Ukrainian president are back in power and they are determined to finish the job – even if it means World War III! The explicit US backing of Ukraine’s military ambitions in the region are a blank check to Kiev.

But it is a check that Kiev would be wise to avoid cashing. Back in 1956 the US government pumped endless propaganda into Hungary promising military backing for an uprising against its Soviet occupiers. When the Hungarians, believing Washington’s lies, did rise up they found themselves all alone and facing Soviet retaliation.

Despite the cruel US propaganda, at least Eisenhower was wise enough to realize that no one would benefit from a nuclear war over Budapest.

Why is it any of our business whether Crimea is part of Ukraine or part of Russia? Why is it any of our business if the Russian-speaking population of eastern Ukraine prefer being aligned with Russia?

Why, for that matter, are unproven allegations of Russian meddling in our elections a violation of the “rules-based international order” but an actual US-backed coup against an elected Ukrainian government is not?

We are seeing foreign policy made by Raytheon and the other US military contractors, through cut-outs in government like Austin and others. Feckless US foreign policy “experts” believe their own propaganda about Russia and are on the verge of taking us to war over it.

It seems as if Americans are sleepwalking through this dangerous minefield. Let us hope they soon wake up before we’re all blown up.


Copyright © 2021 by RonPaul Institute. Permission to reprint in whole or in part is gladly granted, provided full credit and a live link are given.
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Biden may propose $1 trillion in new taxes, says a former aide — and here’s how Congress will react – MarketWatch

Posted by M. C. on March 18, 2021

Taxes are just additional costs of doing business. We know who pays for them in the end.

https://www.marketwatch.com/story/biden-may-propose-1-trillion-in-new-taxes-says-a-former-aide-and-heres-how-congress-will-react-11615978938

By

Steve Goldstein

Now that the coronavirus relief package is actually law, it is onto infrastructure for the Biden administration and its razor-thin Democratic majority in Congress. But infrastructure legislation will come with strings attached — very hefty new taxes.

The White House will propose $1 trillion worth of new taxes, according to Sarah Bianchi, head of U.S. public policy and political strategy at Evercore ISI and the former director of economic and domestic policy for then Vice President Joe Biden.

Officials including Treasury Secretary Janet Yellen have started suggesting what will be in the White House plan. Bianchi says hiking the corporate tax rate to 28% from 21%, establishing a global minimum tax and raising what’s called the global intangible low-taxed income rate to 21% will be in his plan. The plan will probably include nearly doubling capital-gains taxes on those with income over $1 million, and likely will include taxing unrealized gains at death, ending carried interest and raising the top individual income-tax rate.

Other possibilities include restoring the 2009 estate tax policies, limiting individual deductions, phasing out some business income deductions and establishing a financial transactions tax.

Quarter of the way there

Kastle Systems, a provider of office security services, has been using its keycard and fob data to track office occupancy. Half of the cities measured saw increases in building occupancy last week, bringing the 10-city national average up to 25%, up 0.2% from the week before. Houston has the top occupancy at just over 37%.

Steve Goldstein

Steven Goldstein is based in London and responsible for MarketWatch’s coverage of financial markets in Europe, with a particular focus on global macro and commodities. Previously, he was Washington bureau chief, directing MarketWatch’s economic, political and regulatory coverage. Follow Steve on Twitter: @MKTWgoldstein.

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From Taiwan To Iran, US Aggression Overtakes Biden’s Promises

Posted by M. C. on March 2, 2021

The Biden Administration’s promise to embrace diplomacy over Trump’s perceived unilateralism took a blow last week with the US attack on Syria. That is not the only hot spot where diplomacy as we understand it seems to have been abandoned. Today we have a look at the three hot spots. And finally today…Dr. Seuss cancelled???

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Biden considers restricting travel within US for COVID while leaving southern border open – American Thinker

Posted by M. C. on February 13, 2021

The Democrat logic, at least to me, is indecipherable.  Rather than potentially throw the country into massive chaos, wouldn’t the best course of action to protect America from foreign COVID mutations be to restrict travel from the countries that are importing them?

Apparently, to Biden and the Dems, it is more desirable to limit the freedoms of American citizens.

https://www.americanthinker.com/blog/2021/02/biden_considers_restricting_travel_within_us_for_covid_while_leaving_southern_border_open.html

By Andrew Thomas

In an amazing display of cognitive dissonance, the Biden administration proposes imposing limits on the movement of American citizens while encouraging the flood of illegal aliens from Mexico and Latin America.  His actions are allegedly intended to mitigate the spread of the Chinese COVID virus.

Per the Miami Herald:

The Biden administration is considering whether to impose domestic travel restrictions, including on Florida, fearful that coronavirus mutations are threatening to reverse hard-fought progress on the pandemic.

Outbreaks of the new variants — including a highly contagious one first identified in the United Kingdom, as well as others from South Africa and Brazil that scientists worry can evade existing vaccines — have lent urgency to a review of potential travel restrictions within the United States, one federal official said.

Early last year, I personally witnessed what happens when every car on I-95 is stopped at the Florida border and non-Florida residents are refused entry.  This was an early panicky reaction to the virus by Florida leaders.  It led to mass disruption, confusion, and a line of cars at least ten miles long stopped dead on the southbound expressway.

The extent of travel restrictions and modes of transportation to potentially be restricted are not defined at this point.  Florida is the primary focus for possible travel lockdowns, as a third of U.S. cases of the U.K. COVID variant have been identified in Florida.

Cases of variants are also surging in California and 34 other states, according to the Herald.

The Democrat logic, at least to me, is indecipherable.  Rather than potentially throw the country into massive chaos, wouldn’t the best course of action to protect America from foreign COVID mutations be to restrict travel from the countries that are importing them?

Apparently, to Biden and the Dems, it is more desirable to limit the freedoms of American citizens.

Andrew Thomas, https://darkangelpolitics.com.

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Despair, depression, and the inevitable rise of Trump 2.0: Glenn Greenwald tells RT his Biden administration predictions — RT USA News

Posted by M. C. on January 18, 2021

Biden is “somebody who has repeatedly supported militarism and imperialism” and “one of the crucial leading advocates of the invasion of Iraq,” he said. On the domestic front, Biden is “a loyal servant of the credit card and banking industry” and the “architect of the 1994 crime bill,” the latter of which has been blamed for dramatically upping the incarceration rate of black men in the US.

That leftists involved in Black Lives Matter protests rallied around Biden, given his involvement in passing the crime bill (he was one of 61 senators who voted for it) is “ironic,” Greenwald told Hedges, but also serves as an example of how the Democratic Party operates.

https://www.rt.com/usa/512749-greenwald-biden-elections-prediction/

America, Joe Biden says, “is back.” Beyond the sloganeering, journalist Glenn Greenwald reckons that means “militarism, imperialism, and corporatism,” he told RT’s Chris Hedges.

Glenn Greenwald is a lawyer who turned to journalism in 2005 to protest the suppression of Americans’ civil liberties under the Bush-Cheney ‘war on terror’. Greenwald came to international fame by breaking the Edward Snowden NSA whistleblower story in 2013. He later co-founded the Intercept, but quit the outlet in October after saying editors there suppressed his coverage of Democrat presidential candidate Joe Biden.

“I don’t think it’s particularly difficult… to know what to expect from the Biden administration,” the acclaimed American journalist told Chris Hedges, host of RT’s On Contact, on Sunday. Biden, Greenwald continued, has enjoyed a five-decade career in Washington and made his policy priorities well known over these years.

Biden is “somebody who has repeatedly supported militarism and imperialism” and “one of the crucial leading advocates of the invasion of Iraq,” he said. On the domestic front, Biden is “a loyal servant of the credit card and banking industry” and the “architect of the 1994 crime bill,” the latter of which has been blamed for dramatically upping the incarceration rate of black men in the US. 

That leftists involved in Black Lives Matter protests rallied around Biden, given his involvement in passing the crime bill (he was one of 61 senators who voted for it) is “ironic,” Greenwald told Hedges, but also serves as an example of how the Democratic Party operates.

“Democrats are very good at creating a brand that is radically different than the reality, but essentially the Democratic party serves militarism, imperialism, and corporatism,” he said. “That’s who funds them, that’s what they believe in. It’s why you see neocons migrating so comfortably back to the Democratic Party, why you see Bush and Cheney operatives cheering for Joe Biden, why Wall Street celebrated when he picked Kamala Harris.”

Biden’s campaign didn’t only draw support from the left – who Biden then spurned by packing his cabinet with Obama administration alumni while giving progressives like Bernie Sanders the cold shoulder. The former vice president was also supported by Republican hawks like Bill Kristol and Max Boot, as well as the much-maligned ‘Lincoln Project’ Republicans, who fundraised $67 million to shoot attack ads against Trump in the runup to November’s election.

The rallying of the establishment – Democrat and Republican alike – behind Biden could have far-reaching consequences, Greenwald warned.

“It’s not a coincidence that after eight years of Obama and Biden, we got Donald Trump,” he said. “Obviously, if you go back and do exactly the same thing that the ‘Obiden’ administration did for 8 years, which is what Biden’s preparing to do, any rational person has to expect the same outcome.”

The American middle class, Greenwald predicted, will “continue to be destroyed,” while companies “that have no allegiance to the US” will continue to outsource jobs. “Communities will continue to be ravaged with unemployment crises, drug addiction, suicide, depression, all the things that are dominating small American towns.” 

After what Hedges called a “third term of the Obama administration,” Greenwald warned that Biden could set the stage for a “smarter, more stable version” of Trump to take power.

Americans looking for in-depth coverage of the Biden administration will likely be short-changed. Four years of Donald Trump have birthed left-leaning journalists that cheer on the censorship of conservatives and deplatforming of “dangerous” voices, Greenwald believes. 

The left, he said, shows little objection to Biden because they “bought into the overarching narrative that there are only two choices – unite behind the Democratic Party and fight fascism and Hitler, or succumb to fascism.”

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EconomicPolicyJournal.com: This is the Most Alarming Thing I Have Read About the Likely Biden Administration

Posted by M. C. on November 28, 2020

https://www.economicpolicyjournal.com/2020/11/this-is-most-alarming-thing-i-have-read.html

Joe Cirincione, who identifies himself as a “Hill Rat,” teaches at Georgetown and is a member of the Council on Foreign Relations, has sent this tweet out:

In his remarks, Jake Sullivan says @JoeBiden tasked them to “reimagine national security” to include “the pandemic, the economic crisis, the climate crisis, technological disruptions, threats to democracy, racial injustice and inequality in all forms.” 💯— Joe Cirincione (@Cirincione) November 24, 2020

This is the “Great Reset” combined with social justice warrior madness.

It is all part of the crony globalist attempt to gain control of the world and turn everyone, except for insiders, into serfs.

This is extremely alarming. If a battle needs to be launched, it is against this. –RW

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Watch “If You Like War, You’re Going To Love The Biden Administration” on YouTube

Posted by M. C. on November 25, 2020

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