Re:G7: Rich nations back deal to tax multinationals
by pera on Saturday June 05, 2021 @11:36AM
(#27405903)
To me "spent on wages" means on every employee's salary, not only the top 0.01%
It would be pretty awesome if companies increased salaries for everyone at the same proportion of their interment of profit.
Re:G7: Rich nations back deal to tax multinationals
by nohuck13 on Saturday June 05, 2021 @12:33PM
(#27406437)
Yeah but you gotta use the tax code's definition of wages when arguing about the tax code ;)
> It would be pretty awesome if companies increased salaries for everyone at the same proportion of their interment of profit.
It would be pretty awesome if corporations didn't pollute our air too. But corporations are sociopathic profit maximizers. Presumably you support regulating their emissions, rather than just wringing your hands at the bad people. Moral suasion arguments are not effective as tax policies.
This is #4 "spent on wages" no?
We already tax wages. A graduated income tax targets specifically the problem you are flagging here. Taxing corporations exclusively would do away with this.
If you're making an equity argument, why not argue for the opposite of what you're saying: reduce corporate taxes to zero, then make up for it by taxing only the highest earners' wages? Not advocating for a policy position here, just pointing out that the argument in the GP post is precisely that they lack of those granular policy levers is a drawback of taxing corporate income. Policy levers which could be used to nudge the income gap down by taxing the "excessive" executive comp at a higher rate, for example, don't work if you collect that tax revenue as a monolithic corporate profits tax.