YESSSSS! ! !
Released April 7, 2011
INSTITUTE FOR POLICY STUDIES
UNNECESSARY AUSTERITY, UNNECESSARY SHUTDOWN
Reversing tax giveaways to the super-rich and the nation's largest corporations could raise $4 trillion within a decade and avert possible government closures.
**************************************The American people are finally realizing how large corporations, also organized as CFC's, have had an important role in the collapse of the US economy. The CFC (Controlled Foreign Corporations) are "Domestic" US Corporations who get a generous IRS tax benefit for doing business in foreign countries. I still cannot understand how anyone would logically think that losing jobs and revenues in the US would help the US economy.
As far as Puerto Rico is concerned, the CFC used their lobbying power to have the IRS consider the US Territory of PR as a foreign nation for this purpose. That in itself is an abuse to the over four (4) million US Citizens in Puerto Rico.
However, Puerto Rico has not benefited by this use as a tax shelter. Among other things, our economy is in the dumps and unemployment is always in the two digit mark, now over 16%. Oh.. wait a minute, as the following article so rightfully points out, we have some people who have become filthy rich!
I have been denouncing this abuse and fighting against these tax shelters for over 30 years in Congress and the White House. We worked successfully towards the elimination of Section 936, an abusive IRS tax shelter for US Corporations doing business in the territory of Puerto Rico. They then used their lobbying power to change their IRS Section 936 code to CFC.
I am glad to finally see people in the US catching on to this gimmick. With the serious economic situation in the US, if public opinion keeps growing against these tax benefits, their days are counted.
So we are hoping their law firms and representatives invite us to sit down and talk about this and perhaps find a good solution for everyone involved.
We were not taken seriously 30 years ago, yet we proved our case to the US Congress, which eliminated Section 936. I hope the attitude is now different.
Miriam J. Ramirez MD