Last week the Tax Foundation published its “International Tax Competitiveness Index,” which ranked 34 OECD countries on the competitiveness of each nation’s tax code. According to the report, the United States ranks 32nd. Ooph.
The report rightfully dings the U.S. tax code for its statutory corporate tax rate (currently the highest in the OECD). But, the United States also ranks poorly for its R&D tax credit. With more than two dozen countries having a more generous R&D credit, it seems obvious that the credit is hurting U.S. tax competitiveness because of its miserliness.
Image: Free Digital Photos
