Honeywell CEO urges Congress to sharply lower corporate tax rate


NEW YORK, Nov 21 (Reuters) - The U.S. corporate tax rateshould be lowered to encourage global competitiveness, the chiefexecutive of conglomerate Honeywell said in an interviewon Thursday, days after a key U.S. senator proposed sweepingchanges to the tax code.

"If we want to be successful as a country, we need to beparticipating" in countries with much of the globe's economicgrowth, David Cote said in an interview. "If you put U.S.companies at a disadvantage when they're competing in thosecountries, we're making a huge mistake."

Cote, Honeywell's CEO since 2002, said the current U.S.corporate tax rate of 35 percent is too high and should belowered to help his and other companies compete with rivalsaround the world.

Democratic Sen. Max Baucus on Tuesday issued a "discussiondraft" - effectively a memo, not proposed legislation - that hehopes would motivate U.S. multinationals to bring home billionsof dollars in profits already stored offshore at a low 20percent tax rate.

The plan would also make taxation on some, but not all,foreign profits compulsory.

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