Who is the Outsourcer in Chief?

Suppose you owned a business that had 40% of its sales or less in the USA and the remaining 60 plus percent abroad. If the federal government were to impose a new tax on your business based upon its activities outside the USA, what would you do? There are three choices: a) pay the tax and leave operations as they currently are; b) pay the cost to move operations from outside the USA back to America where you will pay the same tax as if the operations had stayed abroad; or c) move the seat of your company to a tax haven like Bermuda, or the Netherlands Antilles which would result in elimination of nearly all of the tax on activities outside the USA and which might als reduce the tax on activities in America? Sinc business operates to make a profit, the correct answer is clearly c) moving the company headquarters out of the USA.

This question is important because imposing a tax of this sort on foreign actvity of American companies is exactly the proposal that is coming from presidnt Obama and the Obamacrats. Obama is asking for a new tax that will push jobs out of the USA. Obama has been making phony charges about Romney being an outsourcer when he worked at Bain Capital, but, in reality, it is Obama who is pushing a plan that will outsource hundrds of thousands of American jobs.

Now before I get email telling me that American companies will never do this, I want to remind you all of Tyco. That company moved its country of incorporation and corporate headqarters overseas some years ago in order to get tax benefits. At the time, Tyco was a large conlomerate with massive operations in the USA as well as huge overseas activities. In other words, the threat of departures of companies from America due to the new Obama tax is very real.

Obama is the Outsourcer in Chief.