FROM THE WSJ
*** begin quote ***
Tax talk. President Trump has ordered aides to draft a tax plan that slashes the corporate tax rate to 15%, even if that means a loss of revenue and exacerbating the plan’s procedural and partisan hurdles. Mr. Trump told his team to “get it done,” in time to release a plan by .
*** end quote ***
For the life of me, I never understood that “We, The Sheeple” don’t understand what appears to me as “simple economics”.
When taxed, “corporations” have really ONLY two choices — pass them along or go out of business.
Yes, I know that they could potentially reduce their profits, but let’s examine that concept. As Larry Kudlow says “Profits are the mother’s milk of stocks and the lifeblood of the economy.” When you reduce profits, you send signals to the economy that things are bad here. Then, the flow of capital dries up. Eventually, profits are zero and there is no incentive but to shut down.
So, taxes get passed along to the consumer. Lucky, real people get to pay MORE taxes.
What’s really bad is those taxes are HIDDEN in the priced of stuff we buy. Pick up any can of beans and tell me how much of that cost is taxes. It can’t be done. Argh! And, the politicians and bureaucrats just love it that way.
Then, want to know why corporations move overseas? The US tax rate on corporations is 30%. I think that’s the highest in the world. There’s the incentive to move. And, if you can’t move, that’s a reason to not go into business.
Wake up people. The correct corporate tax rate is ZERO! Make the people aware of how much Gooferment really is costing us.
# – # – # – # – #