The National Retail Federation is backing a proposal to cut corporate taxes. According to Matthew Shay, president and chief executive at the NRF, the move will have a ripple effect on the economy, enabling businesses to hire more people, lower prices, drive demand and generally improve the economy.

While the White House is slated to publish a more detailed version of the proposal later this week, President Barack Obama noted that such a plan would close loopholes and help the government lower the overall tax rate without increasing the size of the federal deficit.

"While the budget overall is always a contentious issue, corporate tax reform is a unique bipartisan opportunity," Shay told The Hill.

"American companies face the second-highest corporate tax rates in the world, and virtually everyone agrees that the time has come to do something about it," he added.

President Obama spoke extensively about strategies that would enable small businesses – such as retail stores – to enjoy more success during his recent 2012 State of the Union address.

This entry was posted by Retail Pro on Sunday, February 19th, 2012 at 2:12 am .