Kevin Smith: High Corporate Taxes Hurting Economy

Vice President Joe Biden will be in the state this week tobut a local candidate thinks that the Obama administration is going about it the wrong way.

Republican gubernatorial candidate Kevin Smith said at a Souhegan Valley Republican Women meeting that he wants lower taxes on corporations in New Hampshire to boost our economy and bring in jobs.

“I want to see New Hampshire lead the way to be most economically competitive state in the country,” said Smith.

Biden will be in Exeter to promote the "Buffett rule," a tax plan from President Obama that would control tax breaks for the richest Americans and have them pay a minimum rate.

When asked his thoughts on Biden’s campaign large tax breaks for the rich, Smith said that the administration should be focus on alleviating the tax burden for corporations. New Hampshire has one of the highest corporate tax rates in a country with an already high rate, according to Smith, and it is driving away businesses.

“As a country, we have one of the highest corporate tax rates in the western hemisphere,” said Smith. “If the Obama administration is really serious about moving jobs back from overseas, they have to cut that corporate tax rate.”

He believes that taxes like the Business Profits Tax, Business Enterprise Tax and the former income tax on LLCs have put the state at a competitive disadvantage with neighboring states.

One person to blame is current Gov.  John Lynch, according to Smith. He said Lynch is too focused on bringing in revenue from taxes to cover a shortfall instead of finding areas to cut in the budget.

Smith said the income tax on LLCs, which he helped repeal, halted the growth of entrepreneurial ventures in the state and was another short-sighted approach from Democrats.

If elected, Smith said he would lower these taxes and loosen regulations that he believes are slowing down business growth in the state. These changes, along with strengthened relationships between employers and schools, should attract both businesses and workers to New Hampshire.

Former New York Mayor Rudy Giuliani was cited as a good example of smart tax cutting, with revenue in the city shooting up after the he slashed corporate taxes, according to Smith.

Smith has said before that he wants to be Massachusetts Gov. Deval Patrick’s for his state. He repeated this again on Monday, adding that if elected, he would call businesses in Massachusetts personally to find out what it would take to get them to move up north.