bill Progress
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- senate Committees
Committee on FinanceIntroducedNovember 13th, 2019
Equality, Diversity & Inclusion
Business
Economy
Texas
Wages
Bill Details
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Title
Tax Excessive CEO Pay Act of 2019
Official Title
A bill to amend the Internal Revenue Code of 1986 to impose a corporate tax rate increase on companies whose ratio of compensation of the CEO or other highest paid employee to median worker compensation is more than 50 to 1, and for other purposes.
Summary
Tax Excessive CEO Pay Act of 2019 This bill requires an increase in the corporate income tax rate based upon the ratio of compensation paid to the corporation's highest paid employee to median worker compensation. The pay ratios range from greater than 50 to 1 (0.5% increase) to greater than 500 to 1 (5% increase). The bill exempts corporations whose average annual gross receipts during a three-year period are less than $100 million from the rate increase.
It’s hard to make blanket assumptions about a company from just the salary of the CEO. BUT if that salary is 10% above the workers salary that company has enough money to pay more taxes. There is no reason for millions & millions going to the boss when the workers who actually know the bottom floor of that business and RUN the company make $30,000 or less. That’s what a $15.00 an hour minimum wage worker makes.
Those Corporations that overpay their executives at the cost of the average employee are short-changing American workers & the people who buy their products. Such companies are contributing to overall economic inequality in the U.S., and should be required to pay a higher corporate tax rate as a penalty for their failure to look out for workers’ best interests.
It is not the governments responsibility to regulate this. If shareholders don’t like it they will take action. Government needs to stay out of business. In fact they need to stay out of everything possible.
I support the notion behind this legislation to help reduce the ever-growing wealth gap which greatly limits other lower income groups from getting ahead. However, I am concerned about unintended consequences. First, I do not believe that large corporations are fundamentally corrupt; I do believe that any corporation acts in it’s own self interests which can be unfair and abusive to workers. Secondly, since many large corporations are global in nature, excessive taxation has and will continue to cause them to move more and more work out of this country and even their corporate offices to countries which offer much more favorable tax rates. They are not, in most cases, simply American Companies- only. I think, the best way to attack the wealth gap, and the CEO leveraged wealth gap is by increasing the marginal tax rates on high-income, high-wealth earners, legislation to incentivize corporations to view their workforce as assets and stakeholders contributing to their success, funding the IRS auditors of corporate taxes to enable them to take on the army of tax attorneys that corporations can afford in order to close the many loopholes used to avoid taxation and to highlight loopholes which exist that warrant legislative control, and finally- eliminating any ability of corporate profits to diverted in any way to directly or indirectly buy political influence. Big CEO salaries, in many cases, have more to do with their connections and ability to influence politicians than the products or services they provide to their customers. Legislation of the types I would prefer are not at all likely to get past the Republican Senate and would certainly be opposed by trump-Barr Inc.
CEO’s seem to get the biggest bonus’s and pay raises. Yet everyone with a brain knows it’s the floor worker who actually makes the company money. CEOs are the biggest overhead.
Here’s where the so-called evangelicals-bible thumpers seem to ignore the Scriptures advocation of “...those who have more..should give more..” Or, do they accept...”Greed is Good..”. You know this truth, don’t you?
Corporations that overpay their executives at the cost of fairly compensating the average employee or investing in the company’s long-term growth are short-changing American workers in favor of lining senior management’s pockets. Such companies are contributing to overall economic inequality in the U.S., and should be required to pay a higher corporate tax rate as a penalty for their failure to look out for workers’ best interests.
Time to end corporate welfare and make all companies that do business here pay taxes
Middle class people are carrying too much of the tax burden while these ridiculously wealthy people get away with paying barely anything
Taxation is theft, and companies should be allowed to pay as much as they want to whomever they want.
20 to 1 that should be the ratio. 20 times the living wage is more than enough for anyone.
If they have enough money to pay the salaries for the CEOs and don't use it to pay their employees more then yes they should have to pay more in taxes. This bill would force corporations to look into using that extra money to pay their employees more, so they don't have to pay so much in taxes.
Absolutely. All CEOs do is juice their stock prices for themselves. CEO’s shouldn’t make 500 times the average workers wage nor should they get stock options and golden parachutes!
Yes, this is needed. There is a direct correlation to excessive pay and poverty.
https://www.bls.gov/opub/mlr/1987/06/art4full.pdf
Corporate taxes PAID BY the corporations should make up 50% of revenue the federal government takes in. No pass alongs, no tax shelters, they pay.
Absolutely their tax rate should increase just like mine does if I get a increase in pay. I have to pay more in taxes.
Yes! This could potentially put a stop to this kind of nonsense!
Corporate wealth drives inequality. I’m ready to see both end.
If they can find the money to pay themselves more extravagantly, they can afford to pay taxes
Socialism is just as much a part of America as is Capitalism. Who do you think pays for the roads that we all use? Who do you think pays for our massive defense budget?
We need to level the playing field. The socioeconomic division in America is only getting worse. Civil servants, e.g. teachers, police officers, EMTs, firefighters, postal workers, nurses, janitors, maids and farmers give their lives to making society a better place. Corporate executives- greed- takes more than enough to justify their positions. And we wonder why there is social uprising and class warfare in this country.
Absolutely! I am tired of the big corporations getting big tax breaks and the executives getting big bonuses for doing their jobs. The small person ALWAYS loses. The rich get richer and the poor get poorer. It is the way it has always been but extremely tired of it, literally and figuratively.