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Corporations Brought Back $1 Trillion From Overseas Due to Trump Tax Plan
Dan Bongino ^ | December 24, 2019 | Matt Palumbo

Posted on 12/26/2019 7:39:00 AM PST by Diana in Wisconsin

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To: Toddsterpatriot
Maybe? And maybe it prevented a recession from starting already?

Either way, there is no bad time to reduce the highest corporate tax rate in the world.

It may well have extended the recovery and having competitive corporate taxes is a good thing.

It doesn't change the fact that Steve Moore and Larry Kudlow's talking points were BS aimed at the credulous.

I'm not naive but it bothers me when politicians try to blow smoke up my ass because they're afraid to make an honest argument.

41 posted on 12/26/2019 6:59:53 PM PST by semimojo
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To: wbarmy

A simple example for the simpletons is to tell them that when California raised the gas tax 12 cents, that the price of gas at the pump went up 12 cents. The gas companies weren’t taxed, the customers were. Any other tax on businesses works the same way. It’s the customers who pay the tax.


42 posted on 12/26/2019 7:51:49 PM PST by Enterprise
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To: semimojo
Steve Moore and Larry Kudlow's talking points were BS aimed at the credulous

Anything specific you have a link for?

I'm not naive but it bothers me when politicians try to blow smoke up my ass because they're afraid to make an honest argument.

Politicians overselling their policies, outrageous!

43 posted on 12/26/2019 8:29:51 PM PST by Toddsterpatriot (TANSTAAFL)
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To: Enterprise
Any other tax on businesses works the same way. It’s the customers who pay the tax.

Unless they can't raise prices, then the investors/owners pay. Or if they go out of business, their employees pay.

44 posted on 12/26/2019 8:33:45 PM PST by Toddsterpatriot (TANSTAAFL)
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To: PeterPrinciple

2 nations taxing the same money for the same reason sure seems like double taxation. Perhaps if it happened to you, the term might not be as annoying as the fact.


45 posted on 12/27/2019 3:22:45 AM PST by trebb (Don't howl about illegal leeches, or Trump in general, while not donating to FR - it's hypocritical.)
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To: Toddsterpatriot
Anything specific you have a link for?

They both claimed the tax cuts would pay for themselves via higher sustained growth than the CBO predicted - in excess of 3.5% GDP. They also predicted that corporate tax revenues would increase due to the higher growth. Corporate tax revenues dropped by more than 1/3rd in 2018.

If you really don't remember their spin, here's a LA Times recap of a CRS study that discusses their predictions vs. reality.

I haven't read the book myself but reviewers have claimed that in Trumponomics they take credit for convincing GOP Congressmen that the corporate tax cuts would pay for themselves. They also touted up to 6% sustained GDP growth.

Do you really not know the history of these guys?

Politicians overselling their policies, outrageous!

Just because it's the norm doesn't mean it shouldn't be called out.

46 posted on 12/27/2019 9:10:37 AM PST by semimojo
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To: Toddsterpatriot

Conclusion
Japan is a country with a complex multilayer system to calculate the corporate income tax. As a consequence, the CFC income determination has evolved as a complex set of rules to complement the corporate income tax. It would be a great idea for the Japanese authorities to address a simplification of the rules to facilitate the entry of new capital investments into their economy.

https://taxfoundation.org/japanese-cfc-rules-japan-tax/


Your example of Japan is maybe true in theory but not the whole truth in practice. ALL income is taxed in your home country/state as a starting point. Then there are the exemptions. Taxes are extremely complex and not the simple statement you made.

The reality is not the issue of not being taxed. The ISSUE is the home tax rate being greater than or less than the foreign tax.

My issue is the MENTAL IMAGE OF DOUBLE TAXATION which not true in the NET transaction.


47 posted on 12/28/2019 9:42:18 AM PST by PeterPrinciple (Thinking Caps are no longer being issued but there must be a warehouse full of them somewhere.)
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To: Toddsterpatriot

Here is easy understandable interesting information on foreign taxes. But most won’t take the time to read it.

https://taxfoundation.org/much-u-s-multinational-corporations-pay-foreign-income-taxes/

1) foreign taxes varies a lot by country. avg effective tax rate of 27.2%. Yes this 2010 data but I found no indication of change.

2) Trump has changed the effective US rate to 21%.

3) So that means they can they can bring money back here with NO ADDITIONAL TAXES. This change does not bring in current revenue, but future tax revenue. In fact foreign look higher.

4) But, there are state corporation taxes due. Iowa is 6-12%. So in reality this puts us on EQUAL tax footing with the rest of the world. We didn’t give anything away.

5) The issue is not if income is taxed or not, the issue is what is the NET tax rate.

6) If tax rates are neutral world wide, what is the incentive to bring business back to US? That answer is REGULATIONS and RISK.

7) if foreign countries get it, they will also reduce taxes like Ireland and we will have world wide growth.

8) Trump is playing a LONG TERM GAME, but we are also getting short term wins.


48 posted on 12/28/2019 10:32:24 AM PST by PeterPrinciple (Thinking Caps are no longer being issued but there must be a warehouse full of them somewhere.)
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