Re:To Understand the Benefits of Tax Reform, Start by Unders...
by valuearb on Thursday November 09, 2017 @03:21PM
(#15665568)
Perfect isn’t enemy of the good. There is a perfectly good solution, don’t tax profits st the corporate level, tax them at the individual level.
If you eliminate corporate income tax and compensate by making captital gains and dividends ordinary income so you paid regular income tax rates on them, you’d encourage more US investment. There would be no repatriation or tax loophole issues. Hundreds of thousands of tax accountant accountants would be freed to work on actual value creating activities.
Apple shareholders lose 50-70% of dividend payouts to 5 layers of taxes. That’s true of the wealthy as well as the poor retirees on fixed incomes. Eliminating corporate taxes means the retirees pay very little tax while the wealthy still pay over 40% state and federal. That’s what progressivity should look like.
If you eliminate corporate income tax and compensate by making captital gains and dividends ordinary income so you paid regular income tax rates on them, you’d encourage more US investment. There would be no repatriation or tax loophole issues. Hundreds of thousands of tax accountant accountants would be freed to work on actual value creating activities.
Apple shareholders lose 50-70% of dividend payouts to 5 layers of taxes. That’s true of the wealthy as well as the poor retirees on fixed incomes. Eliminating corporate taxes means the retirees pay very little tax while the wealthy still pay over 40% state and federal. That’s what progressivity should look like.