The root of the problem is that there is a double tax on the same income — once on the corporate level, and again at the personal level when dividends are distributed. To the man on the street, this is easier to explain than why we need to reduce the corporate tax level. So maybe we should propose these alternatives: (1) allow corporations to deduct dividends from taxable profits after they are distributed; or (2)allow individuals to exempt dividends after they are distributed.
Corporations simply pass on the tax to consumers by raising prices. The tax also affects how much they pay their employees.
CORPORATIONS ALREADY PAY ZERO TAXES. ALWAYS HAVE, ALWAYS WILL.
Yes, that is true. What corporations actually do is collect taxes - from you. Where do you think the money corporations pay for taxes actually comes from? From you of course.
So when some slick politician says, “vote for me and I'll make those corporate fat cats pay their share!”, what he is actually saying is, “vote for me and I'll have corporations collect even more money from you so I can continue to squander it like the village idiot.” And the re-joiner he should add is, “oh, and by the way, I've been doing this for decades and you are too stupid to figure out where your money is going.”
I think we should eliminate the taxes imposed on manufacturing.
ABOLISH THE IRS.
REPEAL THE 16th AMENDMENT.
There has never been a better time to take out the IRS.
THE FAIR TAX WOULD BE THE BIGGEST TRANSFER OF POWER FROM DC BACK TO THE PEOPLE IN THIS COUNTRY’S HISTORY.
The FairTax is replacement, not reform. It replaces federal income taxes including personal, estate, gift, capital gains, alternative minimum, Social Security, Medicare, self-employment, and corporate taxes.
The FairTax brings jobs back to America by allowing companies to operate on our soil tax free rather than paying the current corporate income tax of 35 percent. Under the FairTax, various economists have predicted higher economic growth ranging from 7 to 14 percent over the current system, more jobs, and higher wages.
With the penalty for working harder and producing more removed, Americans are free to keep every dollar they earn, and a new era of economic growth and job creation is unleashed. Hidden taxes are history, Americans are able to save more, and businesses invest more. Capital formation, the real source of job creation and innovation, is facilitated. Gross domestic product (GDP) increases by an estimated 10.5 percent in the first year alone. The FairTax as proposed raises the economy’s capital stock by 42 percent, its labor supply by 4 percent, its output by 12 percent, and its real wage rate by 8 percent.
As U.S. companies and individuals repatriate, on a tax-free basis, income generated overseas, huge amounts of new capital flood into the United States. With such a huge capital supply, real interest rates remain low. Additionally, other international investors will seek to invest here to avoid taxes on income in their own countries, thereby further spurring the growth of our own economy.
There is nothing greedier than government. Governments at all levels have a intense desire to spend money they have done nothing to earn, but rather have extorted at gunpoint. Now if you’re extorting money, it doesn’t require any more effort to extort 35% than it does to extort 1% Since politicians and bureaucrats have an unlimited appetite for spending, the odds of any reduction of the plundering are slim and none.
Great idea that will never happen. The Welfare State beast needs to be fed. Taxes on the “greedy rich” are going up so that they pay their “fair share”. Forget the fact that corporate taxes impact the poor more than the rich through price increases, the idea of evil corporations paying no tax isn’t going to fly with the low information, “screw the rich”, “gimme gimme gimme and make the rich and corporations pay for it” segment of the public.
Sarah Palin suggested this in her Indianola speech
Corporations don’t pay tax. They simply collect taxes from consumers and pass the funds on to the government.
But it wins votes amongst ignorant Pennsylvanians who are apparently still steeped in 1930’s union organizing rhetoric.
Corporations do not pay taxes; they collect it from their customers as a courtesy to the government. The high US rates puts US companies at a competitive price disadvantage in the world markets. Any other view is formulated without reference to reality. Our government is destroying our economy. This is not an accident.