| The US and Canada have been grouped in with the | | | | of a national deduction for equity financing. Belgian |
| Republic of Congo, China, Brazil and Germany in a | | | | companies are able to claim a higher tax value of |
| new study by the CD Howe Institute. The report by | | | | deductions compared to the tax levied on income |
| the Canadian conservative think tank shows that the | | | | earned from investments, said the study."The US |
| US has some of the highest effective tax rates on | | | | certainly looks like a high-tax country when it comes to |
| capital among 81 developed and developing | | | | business taxation," said the authors of the study, Chen |
| countries.The 2006 Tax Competitiveness Report | | | | and Mintz. They agreed with the conclusions of the |
| looked at 81 countries and scores them according to | | | | Presidential tax reform panel that the US corporate |
| their tax treatment of business investment. The study | | | | tax system is "a major barrier to investment and |
| concluded that highly taxed Canada ranks a | | | | growth, degrading other strengths of the US |
| disappointing 8th place.The "investment-hostile" | | | | economy.""Instead of using the tax system to interfere |
| Republic of Congo ranked first, according to the study. | | | | with economically sound business decisions, it would be |
| The US ranked among the most heavily burdened, | | | | much better to have a broadbased neutral corporate |
| with an effective tax rate on capital of 38%, above | | | | income tax with low rates to create a better business |
| both Canada and Mexico at 36.6% and 13.8%, | | | | environment," the study continued. "Simplification would |
| respectively.The study found that China has the | | | | make it easier for taxpayers to comply with the |
| second highest effective tax rate at 47%, driven by a | | | | system and for the IRS to administer the tax |
| non-refundable 17% value-added tax applied to the | | | | system.""The savings in compliance and administrative |
| purchase of machinery.Argentina, Brazil and Germany | | | | costs would be good for the US economy as |
| complete the top five list of tax-burden "bad boys."The | | | | well."Martin Lukac represents and a finance |
| most tax-favored jurisdictions include Hong Kong with | | | | web-company specializing in real estate and mortgage |
| a tax of 6.1%, Singapore at 11.5% and Ireland at 14%. | | | | rates. We specialize in daily updates, mortgage news, |
| This is a reflection of the countrys' low corporate | | | | rate predictions, mortgage rates and more. Find low |
| income tax rates.Belgium was found to have the | | | | home loan mortgage interest rates from hundreds of |
| lowest effective tax rate on capital among all 81 | | | | mortgage companies! |
| countries at -4.4%. This is a result from the introduction | | | | |