Among those affected by such changes would be some of Mr Obama’s most powerful supporters in the election, such as Eric Schmidt, Google’s CEO, and other “Silicon Valley” executives whose profits are mostly made abroad. They were taken aback when the President blasting companies for “shirking” their responsibilities by avoiding tax.
New York Democratic congressman Joseph Crowley said closing the loophole would hurt Citigroup Inc., his New York district’s largest employer.
It has also dawned on wealthy Americans who flocked to the Obama campaign of “Hope” and “Change” that the president opposes the “trickle down” theories that have guided US economics since President Ronald Reagan was elected with a mandate to slash taxes.
He warned that by the time he was done with them, Silicon Valley and Wall Street would remain large parts of the US economy, but not “half of our economy”.