Burger King says no, Obama can’t have it his way and moves to Canada.

Growing up in Atlanta there was a Burger King right around the corner from our home on Kennesaw Ave NE on North Ave. I remember plenty of times being sent over to get a whopper for Dad. One of the streats I allowed myself on Fridays when I was stationed on Kandahar AB was a double whopper with cheese at the Burger King — it was a humble reminder of home. And so the recent news about my favorite fast food place considering moving its headquarters to Canada came as a shock — but not as a surprise.

As reported by Forbes, “Burger King is in talks to buy Canadian coffee-and-doughnut chain Tim Horton’s Inc., a merger that would be structured as a “tax inversion” which would effectively move Burger King’s headquarters to Canada. Tim Horton’s, the brand, is tantamount to Canada’s version of Dunkin Donuts and is no small coffee-shop chain. As Canada’s largest coffee-shop chain, it has a market capitalization of about $8.4 billion, while Burger King’s market capitalization is about $9.6 billion; the proposed merger would form a new entity worth about $18 billion.”

Now when you read the leftist media take on this story, you’ll find horrific condemnation of Burger King – but guess what? Obama’s buddy Warren Buffett has a hand in the whole venture. The progressive socialists and the Obama administration are attacking Burger King as being “unpatriotic” and “corporate deserters” — but that’s what socialists do, even as they’re benefiting behind the scenes.

We wrote here about “tax inversion” which enables private sector businesses to survive the onerous tax environment of the Obama administration. Instead of blaming Burger King, the blame is totally on President Obama.

The corporate business tax rate in America tops out at 39.6 percent (federal plus state) — and don’t give me the line about exemptions since Obama’s other buddy Jeff Immelt and GE paid no corporate taxes. Obama wants to close exemptions and loopholes but keep the tax rate high — dumb idea — and businesses aren’t going to sit back and allow themselves to get gouged by the “fair share” doctrine of Obama.

I agree with closing and eliminating all corporate loopholes and exemptions, but with that I recommend flattening the tax rate to 22-25 percent. My goal would be to create conditions for private sector economic growth and unleash the trillions of dollars of investment sitting outside of America. Progressive socialists maintain a premise of “you didn’t build that” and believe the earnings of these private sector companies are theirs to confiscate and squander on their welfare nanny-state schemes — or worse, promote insidious crony capitalist ventures, such as Solyndra, using hard-earned taxpayer dollars.

Here is the truth, as Forbes reports, “an American company that merges with a Canadian target company for share consideration can avoid U.S. residency for tax purposes as long as the shareholders of the Canadian target end up owning at least 20 percent of the shares of the new parent immediately after the acquisition. Canada’s corporate tax rate in Ontario of 26.5 percent (the federal rate of 15 percent plus Ontario’s provincial corporate tax rate of 11.5 percent) is considerably favorable to the American federal corporate tax rate of 35 percent thanks in large part to the conservative Canadian government led by Stephen Harper. The Harper government lowered the federal tax rate to 15 percent in 2012 down originally from 28 percent since it took office in 2006.”

In fact, Forbes says a recent KPMG Report, “Focus on Tax” ranked Canada number one with the most business-friendly tax structure.

Ok, get that — the conservative Canadian government lowered their corporate tax rate and that spurs economic growth — which benefits shareholders and most importantly, workers. What part of this do progressive socialists not understand? Oh, I forgot, they don’t want to understand because it’s not in conjunction with their ideology.

So stop blaming Burger King, and place the blame where it belongs: at the feet of President Barack Hussein Obama and his socialist acolytes. Tax inversions are not illegal, but have been forced on American private sector businesses in order to survive. The intransigence of Obama and his disciples will result in a loss of tax revenues for America — a big benefit for Canada.

Just imagine if Obama lowered the top-level corporate tax rate below Canada’s? What would happen if we became the place where corporations all over the world wanted to come and establish their headquarters? That should be the goal — a government that sets the conditions for investment, ingenuity and innovation — not the objective of the Obama crew.

Forbes says, “rather than taking the same stance on outright cutting the corporate tax rate, as the Harper government did, to keep the U.S. a competitive place to do business, President Obama calls tax inverting companies like Burger King“corporate deserters who renounce their citizenship to shield profits”. At the urging of President Obama, Congress is considering a bill to make it harder for companies to change addresses abroad. Treasury Secretary Jacob Lew called for a “new sense of economic patriotism,” asking Congress to pass curbs to inversions. The Treasury Department currently is also preparing options to deter or prevent corporate tax inversions potentially on its own. “

You see, Obama views taxation as a means of punishment, and that drives his little socialist engine.

So, I support Burger King and will continue to have it my way.

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55 Comments on "Burger King says no, Obama can’t have it his way and moves to Canada."

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4MeNoRinos
Guest

the progs are going to condemn warren Buffet I doubt it, they are to intent on the Koch Brothers.

elle
Guest

Go Burger King! Good for them. Obama didn’t get it his way 🙁

Makup Urmind
Guest

Are you really this naive, West? I suppose you approve of call centers in India? Well we can’t scream that foreign cars are foreign anymore, can we? Or can we? Your American made import is still sending money to whatever country. I haven’t drank a Budweiser product in years because it is a European owned company. And now I will add Burger King to the list of traitors and deserters. You can’t beat the enemy if you join the enemy. Buy American or get out! Love it or leave it!

Micky Baker
Guest
That’s funny, because Corporations aren’t people unless you want to call them “traitors, deserters, and then tax them more”. You forgot, you just hate those people, and the people who work for them. This is caused by your idiocy and the way you vote. If you want more taxes paid the USA, it is very simple. 1. Only tax profits on operations in the USA, and stop taxing profits from operations outside the USA. 2. Get rid of the foreign tax credit in the corporate tax code(because you wouldn’t be taxing them on operations outside the USA). 3. Lower the… Read more »
elle
Guest

that’s the spirit!

Kat McAvoy
Guest

So just curious, what American built product are you using as your computer?

Norm Harrow
Guest

Col. West isn’t naive. He believes in freedom. Do you?

Makup Urmind
Guest

By the way, I would love to know how you question my belief in freedom from my very first post here. Just because you “may” have been born and raised in the USA does not mean you are fluent in the language. Pretty obvious to me that William and you both failed English Comprehension.

Makup Urmind
Guest
He does? Really? Then when is he going to announce he is running for the presidency? Your blind loyalty to West is cute but it isn’t helping. I supported West years ago but he has changed. I am hoping that the West I supported years ago will return. As for my beliefs, I believe in a USA that is systematically being destroyed by both Republicans and Democrats. I believe in a Constitution that no longer exists. I believe in a USA that once proclaimed to the world that we are the land of the free and the home of the… Read more »
elle
Guest

Amen – tell it

William Richardson
Guest

If you want to be a communists move to China, Vietnam, North Korea or Cuba. You actually think the liberals sending jobs to India or anywhere else is the same as a corporation moving its HQs out? Just a few jobs there. The bulk of jobs (BK employees) stay here. The only thing Obama cares about is making money for himself and his supporters like Buffet and his puppeteer Soros. When you learn something about economics then you can speak up. Otherwise you are just another no nothing liberal.

Makup Urmind
Guest

Thank you William for clarifying the obvious that the BK restaurants are staying in the USA. I was so confused about the obvious.The asinine assumption that I am a no nothing liberal only proves that you are a die hard idiot conservative. I am involved in neither of these groups as they are both extremely dangerous to America’s future. And until you understand world politics then you can speak up.

Dyanaru
Guest

You have served as the most entertaining and comic read of the day…all in a dither….taking on the right. Not part of the left….depriving yourself of Budweiser but none the wiser!

Ziah Jolley
Guest

streats?? Learn how to spell.

DMcG
Guest

The correct criticism, if you must, would be “Get a proof-reader.” But you probably missed the message anyway, didn’t you?

Norm Harrow
Guest

He meant treats it’s a typo not a misspell. Learn how to criticize.

Ziah Jolley
Guest

Obviously…..

elle
Guest

ouch 🙂

Thomas A. Rice
Guest

Sadly, When the US corporate tax rate is 39.6% Businesses are going to go elsewhere. Canada is cheaper and more business friendly. Why would you want to pay more here when it’s cheaper to go elsewhere? Paying taxes through the nose isn’t patriotism- It’s just stupid. I like how Obama Cronies like GE pay no taxes. Hypocrisy much?

David King
Guest

Obama tells his own Whoppers anyway.

Paul Deckelman
Guest
It will be very interesting to see how Mr. Buffett – known in the financial world as “The Oracle of Omaha” due to his shrewd investment strategies – will manage to square the circle and reconcile his very vocal support for President Obama’s tax policies, which are aimed at making wealthy people and corporations pay heavier taxes as a matter of “fairness” and “economic patriotism” (Obama’s words) with his financial support of a deal that goes completely against such notions by allowing a major U.S. corporation to move its headquarters abroad in order to save big by not being subject… Read more »
lokiswife
Guest

Go to the website philsgang.com and look in the archives for his radio show for Monday and Tuesday, the first hours. He blows the whistle on “Mr. Aw Shucks” for the corrupt jerk he is. Shrewd? He knows how to get Obama to go along with his moneymaking schemes, like putting the Keystone line on hold because Mr. Aw Shucks bought the railroad that moves the oil to the ports.

Rafael X
Guest

Canada also has socialized medicine and minimum wage is at least 10$/hour in every province. Conservative in Canada is not the same as Conservative in the US.

elle
Guest

what is the difference between canada conservative and us conservative?

Rafael X
Guest

Canadian conservatives believe in multiculturalism and climate change. Are very adamant about the separation of church and state. You wont see any Canadian politician speak against marriage equality or a woman right to chose. Among other things.

Micky Baker
Guest

$16.6 billion deficit? If we only had one that low here, but you won’t ever get one that low until you vote out progressives.

Rafael X
Guest

Canadians don’t spend as much money on guns, tanks and airplanes.

Micky Baker
Guest

Yeah, because you know, since Defense spending is less than 20% of Federal Spending in the USA. Go be a communist elsewhere.

Rafael X
Guest

You mean like Burger-King?

Micky Baker
Guest

You’re proving to everyone how illiterate you are.

flintlock1949
Guest
Right! They rely on the US to do the spending for them – as do many other of the world’s “free” Nations! If Canada, or any of our allies, is attacked they don’t have to worry much about their military might – they have ours ( such as it is after Obama’s depredations ) ready willing and eager to step in to defend their Nation! Canada is a friendly neighbor – and God bless them for that; but the US taxpayer is paying a bill for that friendship in the form of massive military spending – to keep a powerful… Read more »
Earl Lee
Guest

Whatever happened to “BUY AMERICAN”??

elle
Guest

go ask Obama

Earl Lee
Guest

I’m asking YOU

elle
Guest

IMHO BK Worldwide is a business that saw an opportunity for growth after very little growth after the last year in US. They obviously looked for growth in their markets outside of US. Canada could have denied the merger if BK Worldwide didn’t move headquarters to Canada. Also their corporate tax rate is about half that in the US. As to Buy American, you seriously will have to ask Obama why he won’t make US more tax friendly for business.

Earl Lee
Guest

everything is not about CORPORATIONS! What about the WORKING STIFF??

James Barnhart
Guest

Earl, I wish to start a dialogue with you. What about the working stiffs?

Micky Baker
Guest

You’re right. This is the Democratic Party’s fault. They are to blame for it.

elle
Guest

define working stiff

Brendan
Guest

Allen West is just another rich conservative complaining that America doesn’t give enough tax breaks to corporations.
Keep spinning.
As long as you spin this into an attack on Obama, your followers will support anything.

Micky Baker
Guest

Give the money back to OFA and start acting like you’re American.

DMcG
Guest
Listen just once. If Burger King and the rest of American corporations paid fewer taxes, not only would they be more competitive price-wise (meaning YOU, knucklehead, would pay less for products and services), but their business would increase, meaning more jobs even for people qualified only to flip burgers. People like you and Obama, who think that companies pay taxes with money grabbed from their owners’ pockets or from thin air, really need to learn how business works and why businesses are the reason we actually have had a successful country over the years. Kill the businesses, and we’ll be… Read more »
Billie Fraker Eads
Guest

Do you honestly believe that if corporations paid fewer taxes, they would pass that savings on to the consumer, and God-forbid, their employees? I am pretty sure that the savings would just go into the pockets of the ones that are already making millions of dollars a year in salary and bonuses.

Micky Baker
Guest

The government isn’t passing it along to consumers.

Brendan
Guest

No one gives me anything
And don’t make assumptions about my understanding of how companies pay taxes.

But sure, let’s stop taxing businesses all together because history has proven that businesses will magically decide not to reap a greater windfall but to instead pass along the profits in the form of savings to consumers and new jobs.
Oh wait… that’s the opposite of what history has actually taught us.

Micky Baker
Guest

I know you don’t understand how businesses are taxed. That’s not an assumption.

Earl Lee
Guest

I find it ODD that so many working stiffs FIGHT so hard to make sure BILLIONAIRES make more money!

Brendan
Guest
There’s a quote from a Broadway play that I think makes it clear. In the Broadway play 1776, liberal John Hancock and Conservative John Dickinson are arguing a similar point and Hancock makes an observation about how rich conservatives can’t have their way at the polls because they are outnumbered by working men… and Dickinson shoots him down with a little reality. JOHN HANCOCK: “Fortunately, there are not enough men of property in America to dictate policy.” JOHN DICKINSON: “Perhaps not… but don’t forget that most men with nothing would rather protect the possibility of becoming rich than face the… Read more »
Micky Baker
Guest

“how rich conservatives”. You are a moron.

Cincinnatus
Guest

I heard that Obama kicked Burger King out of the U.S. He said that there is only room for one king here.

Precioso
Guest
Hmmm…. there’s not as many people (mouths) in Canada as Burger King had in the US. I’m amazed the USA taxes a simple burger at such high % of the profit. So that means it’s perhaps better to register a burger franchise as non-profit (or, as they like to put it – not intended for profit, just for big salaries). Yep, though hamburgers come from Hamburg, Germany, it became an American tradition developed into American fast food of choice. The same happened to pizza, for it looks nothing like the Sicilian pizza. But the bread in burgers kept on getting… Read more »
MotherBatherick
Guest

There’s nothing wrong with a company (or anyone for that matter) wanting to keep more of the money they earn for themselves. Only progressive socialists hate it. The rest of us are all in tho! With that being said, I’d like to see more companies build and grow here and have obama and all the other progressive socialists -leave. And they can take their “you didn’t build that” crap attitude with them.

Casey
Guest

I can’t fault Burger King for this. The amount of market share they would need to get from other fast food restaurants or upselling or cost cutting they’d have to do to get this kind of additional revenue back would be kind of immense. It’s kind of sad. What’s more American than a hamburger, eh? Also, please don’t flame me, I know we didn’t invent hamburger and I am talking aboot it being a part of our culture, eh.

James
Guest

Again, Mr. West, you either lie or are ignorant of the facts here: presidents do not set the corporate tax rates or the exemptions that are allowed: that is solely up to Congress. The corporate tax rates have not changed since 1994. GE (and many other corporations) did not pay any taxes because of various exemptions that Congress granted in years past. Obama had nothing to do with that.

Tax inversions have occurred for many years, before Obama. To blame Obama for this is disingenuous.