Posted on 02/26/2017 4:48:37 AM PST by IBD editorial writer
Corporate Taxes: Nobody knows for sure whether President Trump supports a "border adjustment tax." That's fitting, since nobody really knows what this tax would do to the economy.
Trump has been hot and cold about the border adjustment tax. On Thursday, he told Reuters that he thought the tax "could lead to a lot more jobs in the United States." On Friday, Trump's top economic advisor reportedly said it was a nonstarter.
The tax is part of a wholesale rewrite of the corporate tax code proposed by the House GOP leadership, which they say will vastly simplify taxes, lower rates, increase exports, and help grow the economy.
The plan would swap the current 35% corporate income tax for a 20% consumption tax — or in policy-geek-speak "a destination-based cash flow tax." Because exports are consumed abroad, they'd be exempt from the tax. Imports, however, would face a 20% "border adjustment tax."
The idea has generated lots of attacks, including from this page, as well as claims that it would violate the terms of the WTO, hurt retailers like Best Buy and Target that rely heavily on imported goods, even hurt tourism.
The biggest problem with this tax reform, nobody has any idea what it will do.
(Excerpt) Read more at investors.com ...
Smoot-Hawley was a factor!
UNDENIABLE!
The roots of the Great Depression went to the farm depression of the 1920s, when Wall Street was roaring. Farming was a much bigger share of the economy then.
Smoot-Hawley was a response to the market crash and merely restored the traditional American tariffs that had prevailed until President Wilson.
Smoot Hawley was discussed for several years before being passed.
IOW, the economic effects of Smoot Hawley had already been accounted for.
Smoot Hawley DID have a negative effect, and was a cause of the Great Depression!
You know, I rally am tired of arguing with you on this subject. It is obvious to me that you have an economic interest of some sort in causing protective tariffs to be enacted, and are not able to be objective.
FairTax is already in legislative language as HR 25 and S 18.
Where is your Smoot Hawley II tariff legislation?
See my post #62.
You are mentally retarded if you believe that. The Great Depression started September 1929. Google the passage of Smoot Hawley
Here it is again,
“Smoot-Hawley was discussed for several years before being passed.”
“IOW, the economic effects of Smoot-Hawley had already been accounted for.”
Your motivation, despite your protests to the contrary, HAS to be a selfish economic one.
AND, you continue to miss the point: FairTax SOLVES the imbalance the USA has in respect of foreign trade.
Get off your protective tariff mantra and open your eyes to a FAR BETTER SOLUTION: FAIRTAX!
Unfortunately for the re-writers of history, the info age has made that process so much harder. Thank you God.
How about taxes targeting imports which promote domestic industry?
Free trade is the selfish position putting Americans in competition to 3rd world peasants.
The Free Traitor™ can never, will never understand the motivation of a patriot.
Have you seen this?
Tax Reform: The Good, the Bad, and the Really Ugly – Part Four By John Mauldin
This week we’re going to start the letter talking about why tax reform is one of the most urgent decisions facing the body politic today.
http://ggc-mauldin-images.s3.amazonaws.com/uploads/pdf/170301_TFTF.pdf
It is FAIR TRADE!
There is a considerable difference.
I cannot continue this conversation.
Ad hominem attacks are not effective, BTW.
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