Danielson: Closing the offshore tax haven loophole
By State Rep. Jessie Danielson
You and I pay taxes. Colorado tourists pay taxes. Colorado small businesses do their part. So it makes sense that big corporations should pay their fair share, too.
However, some large multinational corporations dodge paying state income taxes by hiding profits in known tax haven countries like Bermuda or the Cayman Islands. Instead of paying the 4.63 percent corporate rate on profits from sales to Coloradans, these companies pay little or nothing by exploiting loopholes in the system. Playing by a different set of rules simply isn’t fair to other businesses, and shortchanges our schools while leaving Colorado citizens and small businesses to foot the bill.
That’s why I am supporting a legislative solution that levels the playing field, helps our schools and cracks down on tax-dodging multinational corporations.
House Bill 1275 would add an initiative to the November ballot to close this tax loophole and direct the recovered funds to K-12 education. For Colorado public schools, that would mean up to $50 million the first year and $70 million the second. Think about what a difference that will make for Jeffco families.
The vast majority of the over 500,000 businesses that operate in Colorado play by the rules. They are at a competitive disadvantage when unscrupulous multinational corporations exploit loopholes in the system by using offshore tax havens.
I am supporting this legislation because I believe that hard work, innovation and fairness are shared values that make our state stronger. Making sure big corporations pay their fair share upholds those values and at the same time supports our local public schools.
Please join me in supporting HB-1275 to close tax haven loopholes. Colorado citizens deserve the chance to vote on this.
Jessie Danielson is the State Representative for Colorado House District 24. Contact her at 303-866-5522 or visit www.jessiedanielson.com.