Corporate Taxes

The 300 billion figure refers to McCain's plan to reduce corporate income tax rates. McCain likes to say that US has world's second highest corporate tax rate.

Obama says that's true, until you count loopholes, which lower the EFFECTIVE tax rate.

McCain always says Obama's plan to raise taxes on the 250K-plus crowd would affect small businesses that file taxes as individuals. True, although factcheck says there are far fewer genuine businesses (with employees) that file as individuals.

The best source on the distribution of tax burden is the Tax Policy Center. Bottom line: 80 percent of country gets a bigger tax break under Obama's plan. The top 20 percent get a bigger break from McCain (and especially top 5, 1 , 0.1 percent).

The other argument Obama's camp makes is: if tax cuts are so good for job creation, why has job growth during the Bush presidency been 1/4 what it was under Clinton.

-- Scott Horsley

9:53 PM ET | 10- 2-2008 | permalink

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