If there weren't any corporate taxes, they wouldn't need to have buildings stuffed with highly paid accountants, and could use that same money to purchase labor, equipment, expansion, etc. That means real jobs for regular working people, and greater economic activity all around.
That in turn produces more in tax receipts to the US Treasury. Kennedy, Reagan, and GW Bush all proved that this works when implemented, but the dunderheads and criminals up in Washington rely on the oppressive system we have to keep their power.
From Sarah Palin's Indianola speech:
"...we can and we will make America the most attractive company on earth to do business in. Here's how we're going to do this. Right now, we have the highest federal corporate tax rate in the industrialized world. Did you know our rates are higher than China and communist Cuba? This doesn't generate as much money as you would think, though, because many big corporations, they skirt federal taxes because they have the friends in D.C. who write the rules for the rest of us. This makes us less competitive and restrains the engine of prosperity. Some businesses, they spend more time trying to figure out how to hide their profits than they do in generating more profits so that they can expand and hire more of us.
So to make America the most attractive and competitive place to do business, to set up shop here and hire people here, to attract capital from all over the globe that will lead to an explosion of growth, instead of chasing industry offshore, I propose to eliminate all federal corporate income tax.
And hear me out on this. This is how we create millions of high paying jobs. This is how we increase opportunity and prosperity for all. But here is the best part. To balance out any loss of federal revenue from the tax cut, we eliminate corporate welfare and all the loopholes, and eliminate bailouts.
This is how we break the back of crony capitalism because it feeds off corporate welfare, which is just socialism for the very rich. We can change all of that. The message then to job creating corporations is we will unshackle you from the world's highest federal taxes, but you will stand or fall on your own, like the rest of us out on Main Street.
See, when we empower the job creators, our economy will soar. Americans will get back to work. This plan is a first step in a long march toward fundamental restoration of a strong and free market economy, and it represents the kind of real reform that we need."
Successfully, too. So why do they need more tax breaks?
If there weren't any corporate taxes, they wouldn't need to have buildings stuffed with highly paid accountants, and could use that same money to purchase labor, equipment, expansion, etc. That means real jobs for regular working people, and greater economic activity all around.
No, they could lay off all those highly paid accountants and attorneys and pocket the money saved in profits. The one common denominator is that they pay no taxes and lay people off.
That in turn produces more in tax receipts to the US Treasury. Kennedy, Reagan, and GW Bush all proved that this works when implemented...
At tax rates higher than they are now. So again, if it isn't taxes that are the reason why they aren't hiring then what is it?
The problem with that statement is that it is very deceptive. China has a top corporate rate of 25% vs. 35% in the U.S. it is true. But China has a top personal tax rate of 45% vs. 35% in the U.S. Plus China has a top VAT of 17%. Cuba has a top personal tax rate of 50% plus a VAT that is as high as 20% on some items. Plus roughly half the corporations in the U.S. and the majority of foreign companies doing business in the U.S. pay no income taxes. Is that true in China and Cuba?