Business, Economics & Tax Policy 5.0: Can a blind nut find a squirrel?

[unofan]

Don't those three entities have people on the payroll (making stuff, delivering stuff)?

Like I said, yes, we'd have to find a way to keep the individual from "incorporating".

Or you could just tax corporations like we do now and not have to worry about it.

And you act like businesses never buy things from other businesses. Business purchases make up a not insignificant portion of the economy. When Apple buys processors from Intel, why shouldn't that transaction be taxed just like me buying food from McDonald's?

You asked where the problems would be, I pointed them out. And we have real world examples of how it happens.

[alfablue]

Wouldn't it still be income to someone?

The corporation doesn’t care, they have untaxed money to spend on speech. Great way to support those who support them.

[joecct]

The corporation doesn’t care, they have untaxed money to spend on speech. Great way to support those who support them.

I thought if the off shore money was brought into this country for any reason, it gets taxed.

[unofan]

I thought if the off shore money was brought into this country for any reason, it gets taxed.

Not if we eliminate the corporate tax, which is the scenario Sic proposed.

[joecct]

Not if we eliminate the corporate tax, which is the scenario Sic proposed.

Well, in theory, if you don't tax corporate profits, there is no incentive to off shore your profits.

However, I don't believe in grandfathering in this case. Old money brought home gets taxed at 15%.

[St. Clown]

Re: Business, Economics & Tax Policy 5.0: Can a blind nut find a squirrel?

Or you could just tax corporations like we do now and not have to worry about it.

And you act like businesses never buy things from other businesses. Business purchases make up a not insignificant portion of the economy. When Apple buys processors from Intel, why shouldn't that transaction be taxed just like me buying food from McDonald's?

What you're describing there is the Value Added Tax that's very popular in European countries. The problem with that, as people love to point out here about our current sales tax, is that it's highly regressive. And it's a sinister sort of regressive because it also goes through a compounding interest process due to the layering of all the pieces used to create something like an iPhone. So a very low VAT creates a very large tax.

[unofan]

Re: Business, Economics & Tax Policy 5.0: Can a blind nut find a squirrel?

What you're describing there is the Value Added Tax that's very popular in European countries. The problem with that, as people love to point out here about our current sales tax, is that it's highly regressive. And it's a sinister sort of regressive because it also goes through a compounding interest process due to the layering of all the pieces used to create something like an iPhone. So a very low VAT creates a very large tax.

I'm simply pointing out the flaws in not having businesses pay any taxes under the guise that it all winds up in an individual's hands at some point. I'm not intending to advocate for a VAT or an expanded sales tax.

[mookie1995]

Re: Business, Economics & Tax Policy 5.0: Can a blind nut find a squirrel?

https://www.washingtonpost.com/busin...az_most&wpmk=1

[ScoobyDoo]

Re: Business, Economics & Tax Policy 5.0: Can a blind nut find a squirrel?

https://www.washingtonpost.com/busin...az_most&wpmk=1

180,000 a year isn't wealthy. No one is saying it is. 150 single, 300 couple. Also, no one is saying to tax them to death once they reach that level. Only to tax anything that goes above that. Right now even with the 180,000 they are paying FICA on all of it.

[unofan]

Re: Business, Economics & Tax Policy 5.0: Can a blind nut find a squirrel?

180,000 a year isn't wealthy. No one is saying it is. 150 single, 300 couple. Also, no one is saying to tax them to death once they reach that level. Only to tax anything that goes above that. Right now even with the 180,000 they are paying FICA on all of it.

Its amazing how normally smart people don't understand marginal tax brackets as a concept.

Otherwise smart people think that if you make $1 more than the threshold to go from the 25% to 30% bracket, your entire income gets taxed at the higher rate rather than just the last dollar.

[mookie1995]

Its amazing how normally smart people don't understand marginal tax brackets as a concept.

Otherwise smart people think that if you make $1 more than the threshold to go from the 25% to 30% bracket, your entire income gets taxed at the higher rate rather than just the last dollar.

Who thinks that?

[ScoobyDoo]

Who thinks that?

The entire ****ing Republican Party. That's who.

[unofan]

Who thinks that?

My father in law, for one.

But more generally, you pick up that people think it because they make sure to take enough deductions "to get into the lower tax bracket" as though that will make a huge difference in their tax bill.

[mookie1995]

Re: Business, Economics & Tax Policy 5.0: Can a blind nut find a squirrel?

Well, it would as you say. Anything that is now in the higher brackets get the larger rate. Plus now the first bucket is going to be what?? 12% instead of 10%

Plus if your deductions are lower you will have more income being taxed.

[unofan]

Re: Business, Economics & Tax Policy 5.0: Can a blind nut find a squirrel?

Well, it would as you say. Anything that is now in the higher brackets get the larger rate.

But taking deductions to get to the lower rate means you're foregoing that income, too. You're spending dollars to save pennies.