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This type of tax plan will incentivize wealth aggregation in corporations, while increasing the cost of employees and goods/services. You want companies to spe
by bduerst 11y ago
This type of tax plan will incentivize wealth aggregation in corporations, while increasing the cost of employees and goods/services.
You want companies to spend, to increase economic cash flow and generate jobs, which is why existing corporate taxes are on net income, not revenue or costs.
- twoodfin 11y agoWhy would shareholders want a corporation to aggregate wealth?
- bduerst 11y agoInvestors want a return, and this new tax plan makes it more expensive to move money out of a corporation, even for regular operational expenses. Corporate income tax today allows for companies to pay employees and buy goods/services without increased tax cost. It incentivizes cash flow into the economy and job generation by taxing whatever is left over (net income) after doing business.