With a corporate income tax rate of 35 percent, Republican U.S. Senate candidate Eric Hovde says many companies have fled the country in search of cheaper places to do business. He says the rate is the highest in the world, so it’s no surprise corporations have set up production in areas such as Canada, where they only pay about 20 percent.
The hedge fund investor says one of his goals if elected to the U.S. Senate is to lower the corporate tax rate to about 25 percent. He says that would be financed through eliminating the numerous loopholes that currently allow corporations to pay little or no income taxes at all.
Hovde says those loopholes are a type of corporate welfare that needs to be removed from the system.
Hovde is one of four Republicans seeking the nomination in the US Senate race.
AUDIO: Andrew Beckett reports (1:00)