3M relocates plants to avoid oppressive U.S. tax; FairTax would make U.S. the global tax haven

CFO Pat Campbell said moving these operations overseas will reduce 3M’s overall tax burden to 30.5%. While liberals will cast him as a corporate Benedict Arnold, the move could increase 3M earnings $200 million. Remember, corporations don’t pay taxes – individuals do. So customers or shareholders would pay that $200M. To leave the plants in the U.S. would amount to a breach of fiduciary responsibility.

Rather than calling responsible executives traitors and lamenting the loss of jobs, politicians should look again at the FairTax. Transition from today’s income-punishing system to a national consumption tax would eliminate the corporate tax making the U.S. the most advantageous locale to start or expand a business.

With FairTax, this story might read “3M to Relocate Plants TO the U.S. for Tax Benefits.”