October 30, 2009 4:21PM 

# Politicians Fiddle While America’s Corporate Tax System Burns 

By [Daniel J. Mitchell](https://www.cato.org/people/daniel-mitchell) 

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KPMG has released its [annual global survey](http://www.kpmg.com/SiteCollectionDocuments/KPMG_Corporate_Indirect_Tax_Rate_Survey_2009.pdf) of corporate tax systems. For the 10th consecutive year, the average corporate tax rate fell, and it is now down to 25.5 percent — and just 23.2 percent in the European Union!

In the United States, unfortunately, the corporate tax rates remains stuck at about 40 percent. Only one developed nation, Japan, has a more punitive regime.

That’s something to keep in mind the next time a politician complains that jobs are going to China, where the corporate tax rate is 25 percent.

##### Related Tags 

[Government and Politics](https://www.cato.org/government-politics), [Tax and Budget Policy](https://www.cato.org/tax-budget-policy) 

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