> Also that they tend to be well below personal rates these days plus this gap widening. Increasingly this tax burden needs to be picked up from citizens. I suspect this is a significant variable of the degrading working/middle class lifestyle.
I think that we should radically raise corporate tax rate on profits, and provide marginally zero tax on any income (up to a large limit, eg $500k) that isn’t capital gains. This would shift the focus of corporations from increasing profits and stock price and instead put the focus on paying employees more. It was also shift corporate focus less on stock price rises and more on dividend increases (capital gains vs income).
These two things seem like they’d provide a much more stable environment for workers. Paying employees more becomes the new tax write off. Employees benefit because they don’t worry about taxes and get paid more, and it reduced the economic benefit of keeping the money in the company instead.
Won't the corporations just make up for it by paying all the profits to their executives?
Why does Singapore have better infrastructure and governance than your country? With no natural resources and no land.
You cannot buy your way out of bad governance. If you want a better "lifestyle", elect a better government, the tax rate paid by people in foreign countries has nothing to do with it.
https://en.m.wikipedia.org/wiki/Double_Irish_arrangement
Also FYI most companies in Singapore pay 17% tax, not zero.
And you ask why singapore has good infrastructure, well ~$70k per capita GDP helps these things.
> therefore we need global tax minimum agreements
how does this follow? this isnt reddit or 4chan; your particular philosophy isnt assumed to be truth.
when i pay tax personally i am getting scammed (robbed). i dont work for a corpo like 99% of the users here that creates deliberately broken products nor do i get any funding from the government to spend on OLED screens while pretending its to boost the economy
Corporate income taxes only bring in ~5% of the US Federal budget, all the individual taxes have always been more substantial:
https://taxfoundation.org/how-has-federal-revenue-changed-ov...
If country can do with less money it might attract more businesses. This pushes others to improve their operations too. Global tax minimums remove or soften this incentive which is a bad thing. Most governments are not efficient already and this will not help.
Small countries can afford to be tax havens because even getting 1% of a multibillion company covers their needs well enough. Meanwhile, the country housing the thousands of workers, damaging roads, using infrastructure, healthcare, etc, get nothing. Global tax minimums are the only way we have a society that keeps functioning.
It doesn't take a genius to see the problem either, look at companies like airbnb who barely pay any tax in countries they operate in because technically they just have a "customer service office" in said country while the money is moved to Luxembourg, Ireland, &c.
This isn't what is at play in the case of tax havens.
I ask because taxes are the price you pay for (insert your country's services here).
All these services can be provided by businesses, and I can pay for them on a per-need basis.
"The Machinery of Freedom"[0] is a book describing how a lot of these could work. I'm not yet sold that they would, but I'm not outright discarding the ideas.
[0]: https://www.amazon.co.uk/Machinery-Freedom-Guide-Radical-Cap...
What I haven’t heard however are a couple of good examples (in a particular society) that are viable and would make a material positive dent, but I wouldn’t be surprised to hear some good ideas, especially in jurisdictions where a govt does a lot.
Maybe I should have called it a price instead of the price.
I feel like most people, including you, have absolutely no idea of how their taxes are spent. Unless you live in an absolute corrupt shit hole you're dead wrong
US is driving this currently at corporate level, which is the more important, but would be good to see on personal rates too. I think this is one of the most important global trade issues today, and it gets very little attention.
If only selfishly, as we see the a continuing race to the bottom on corporate tax rates. Also that they tend to be well below personal rates these days plus this gap widening. Increasingly this tax burden needs to be picked up from citizens. I suspect this is a significant variable of the degrading working/middle class lifestyle.
Would love to see more countries come together on this issue. Most of the time its significantly in the wests interest to make this happen, so shows that the corporate lobby has so much power here in that it doesn't. And generally its important for global trade to compete on a level playing field or we start to break the system and interest in it.