Obama corporate tax plan to lower top rate to 28 percent, according to senior administration official

WASHINGTON - Fixing a marker in the election year debate over tax proposal, the Obama administration, the corporate tax rate from 35 percent to 28 percent and reduce to try a lower effective tax rate for manufacturers, a senior official said.
In return, the companies have to give up dozens of loopholes and subsidies they enjoy today. Companies with foreign operations would also face a minimum tax on their foreign income.
Treasury Secretary Timothy Geithner on Wednesday was to detail aspects of the proposed revision of President Barack Obama of corporate taxes, a plan Obama on the whole in his State of the Union speech, outlined last month.

The chances of such an amendment to the tax system are dominated slim in a year, mainly from the presidential and parliamentary elections. But for Obama, the proposal is part of a comprehensive tax plan that is in the heart of his re-election strategy.
Terms and conditions of the corporation is in line with Obama's call for taxes on millionaires and maintaining current rates on people who make $ 200 increase to 000 or less.
The 35 percent nominal rate of corporation tax is the highest in the world after Japan. But the deductions, credits and exemptions allow companies to pay a lot of the taxes at a much lower price.
Proposed as part of the administration, would the interest rate cuts, gaps and carry out the minimum tax on profits abroad in any increase in the deficit.
This means that many companies that fall through the cracks or are subsidized and pay an effective rate that is significantly smaller than the tax of 35 percent of the companies could end up paying under the plan Obama. Others, however, would pay less, while some would simply benefit from a simplified system.
The official said that Obama's plan for U.S. companies, especially manufacturers, to help the face of strong international competition. Obama's plan would be the effective tax rate for manufacturers, which stresses by 25 percent while the development of clean energy. The head of the Administration spoke on condition of anonymity to describe what will the administration.
The New York Times reports, the first details of the plan in its online edition on Wednesday morning.
Many members of both parties said they favor the consolidation of the nation's tax system for individuals and businesses, they complain of excessive amounts and are riddled with too many deductions.
The tax debate has made its way into the presidential elections. Former Massachusetts Governor Mitt Romney called for a rate of 25 percent, former House Speaker Newt Gingrich, R-Ga., Would the tax be reduced to 12.5 percent, and former Senator Rick Santorum, R-Pa ., would halve its domestic producers of corporate and free the highest rate for other companies.
While Obama has been promoting various aspects of its economic program in appearances and speeches, the decision to the level of corporation tax to the Treasury Department to leave in order to reveal its reported lowest priority.
In addition, under the administration leaves much to decide for the Congress - to encourage a conscious government to negotiate, but not the subject of a detailed criticism of the plan.
Obama's plan is not as ambitious as the Republicans in the House proposal that would reduce the rate of the company to 25 percent.
But, Obama said the corporate tax rate is too high and the deletion of proposed tax breaks for U.S. companies that move jobs and profits overseas. He also suggested there tax breaks for U.S. manufacturers to companies that create jobs in this country and businesses that have lost some communities, major employers relocating to return.
Geithner told a House committee last week that the administration wants to create more incentives for companies to invest in the United States.
"We want to reduce the rate, and we think we can, to a level that approximated the average of our major competitors," said Geithner, the Ways and Means Committee.
White House aide Gene Sperling economic represented a minimum tax on profits worldwide. Currently, many companies will not invest profits abroad in the United States to prevent the rate of 35 percent tax.