Letters to the Editor

Andy Maholick: Mass corporate exodus

Regarding the Nov. 27 editorial “Merger moves hit taxpayers”: It is not the responsibility of corporations to be “patriotic” or do nice things for the community. A corporation’s obligation is to maximize the rate of return on investment of its stockholders.

One of the single largest factors affecting the financial success is the company’s tax rate. The corporate tax rate in the United States ranges from 15 percent to 39 percent, which is higher than most nations.

There is an old adage that “money goes where it is treated best.” By establishing the new company’s headquarters in Dublin, the tax rate will be about 17 percent, down from 25.5 percent. The fault is not with the companies, but with a tax code that allows their merger.

There you go again with “fair share,” never saying what a fair share amount is. Half the country pays no federal income tax, and the upper 20 percent of taxpayers pay about 80 percent of the taxes. Is this fair?

For Bernie Sanders, the fair share for the wealthy is 92 percent. If he is elected, you should not be surprised that a lot of them leave the country as they have in Greece.

Andy Maholick

Raleigh

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