[hugh3]

It would turn corporations into tax shelters, allowing investments to compound at a faster rate

Is that so bad? Is it bad if we encourage people to invest in businesses rather than term deposits (or CDs as I think they're called in the US)?

[cperciva]

That depends on what the businesses are doing. If people set up corporations which do nothing other than hold term deposits, I don't see how that's any better than people directly holding term deposits.