Mayor Soglin on avoiding fiscal cliff - WQOW TV: Eau Claire, WI NEWS18 News, Weather, and Sports

Mayor Soglin on avoiding fiscal cliff: Close offshore tax loopholes

Posted:

MADISON (WKOW) -- With the deadline for Congress to make a decision on the so-called fiscal cliff, politicians from all levels are commenting on how Washington lawmakers can avoid it.

On Thursday, Madison Mayor Paul Soglin, along with the Wisconsin Public Interest Research Group (WISPIRG), pointed out what they say is a clear first step to avoid the fiscal cliff. They say the step it so close offshore tax loopholes.

"Let's understand, that fixing the tax loopholes for the wealthy, by providing responsible taxes for revenues, for the federal government, we are going to take a significant step in making this a better nation, a stronger nation," Mayor Soglin said.

WISPIRG says that many of America's largest corporations and wealthiest individuals use accounting gimmicks to shift profits made in America to offshore tax havens, where they pay little to no taxes. WISPIRG says that tax avoidance costs the federal government $150 billion in tax revenue each year. 

"When corporations exploit offshore tax loopholes to skip out of paying their bill, the rest of us are left to pick up their tab in the form of higher taxes, cuts to key public services, or escalating national debt," Joe Rasmussen, Program Associate for WISPIRG, said. "Right now, this kind of tax dodging is perfectly legal, but it's not fair and it's time to put an end to it."

On Thursday, WISPIRG released 16 specific ways the money lost each year to tax havens could be spent. The fact sheet is titled, "What America Could Do With $150 Billion Lost to Tax Havens." You can view it by clicking here.

"There are some tough budget decisions ahead, but closing the offshore tax loopholes that let large companies shift their tax burden to the rest of us should be an easy one," Rasmussen said.

If an agreement from Congress isn't reached by the end of the year, it would result in automatic tax increases and drastic spending cuts.

  • Most Popular StoriesMost Popular StoriesMore>>

  • Decorah Eagle Cam

    Decorah Eagle Cam

    The Eagle Cam is back!  Watch live as eagles build their nest and family!More >>
    The Decorah eagles became international stars in 2011, when their nest went viral. To date, over 280 million people from 84 countries have followed the eagle family from eggs to fledgling birds, watching every aspect of life in a wild nest.More >>
  • Sleeping girl killed after car drives into home

    Sleeping girl killed after car drives into home

    Sunday, April 20 2014 7:42 PM EDT2014-04-20 23:42:54 GMT
    Officials say a 16-year-old Southern California girl asleep in her bed has died after a driver accused of being drunk crashed his SUV into her home.More >>
    Officials say a 16-year-old Southern California girl asleep in her bed has died after a driver accused of being drunk crashed his SUV into her home.More >>
  • Country music singer Kevin Sharp dies at age 43

    Country music singer Kevin Sharp dies at age 43

    Sunday, April 20 2014 7:33 PM EDT2014-04-20 23:33:21 GMT
    Kevin Sharp, a country music singer who recorded multiple chart-topping songs and survived a well-publicized battle with cancer, has died. He was 43.More >>
    Kevin Sharp, a country music singer who recorded multiple chart-topping songs and survived a well-publicized battle with cancer, has died. He was 43.More >>
Powered by WorldNow
All content © Copyright 2000 - 2014 WorldNow and WQOW. All Rights Reserved.
For more information on this site, please read our Privacy Policy and Terms of Service and Mobile Privacy Policy & Terms of Service.

Persons with disabilities who need assistance with issues relating to the content of this station's pubic inspection file should contact Director of Station Operations Lisa Patrow at 715-852-5920. Questions or concerns relating to the accessibility of the FCC's online public file system should be directed to the FCC at 888-225-5322, at 888-835-5322 (TTY) or at fccinfo@fcc.gov.