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The argument for corporate income tax is misplaced. Many socialist countries have a low (or no) corporate income tax and that's goods. A country shouldn't tax

The argument for corporate income tax is misplaced. Many socialist countries have a low (or no) corporate income tax and that's goods. A country shouldn't tax the things it would like to encourage. In this case, that companies re-invest and not pull the funds out to pay investors. Capital gains tax should probably be mentioned. Why is it a much lower rate than income tax? Why not talk about that? Strange also that the article doesn't really target one specific part of the tax code - they don't mention any loopholes at all. If they'd like to see a change, name exploits. The article is outrage porn - not trying to inform, or make a specific change. It's simply trying to get clicks and shares. It's really a shame to see the new york times go this route.

chriogenix 7y ago
basically this. in these mostly socialist countries, the top income bracket starts much much lower than in the US. these countries tax the middle class and consumption with VAT ranging from 15-21% on consumption. in spain the top bracket starts around 60,000 euros a year and its 45% not including local tax. these policies and similar ones in other countries in effect keep the rich rich and make it much, much harder for the poor/middle class to move up.
- namdnay 7y ago
  I agree that corporation taxes are a bad idea, however I don't understand your argument about the tax rates in spain. How do they "keep the rich rich and make it much, much harder for the poor/middle class to move up"? You said yourself that the marginal income above 60k is taxed at 45% - that's clearly heavily taxing the rich
- dep_b 7y ago
  Yup, moved back to one of those countries from a 20%-ish country and since I'm still not rich enough to have tons of deductions I'm really getting squeezed out of about half what I earn.
- the_gastropod 7y ago
  These socialist countries have better economic mobility than the U.S. does... https://www.economist.com/graphic-detail/2018/02/14/americans-overestimate-social-mobility-in-their-country https://www.economist.com/graphic-detail/2018/02/14/american...
jtms 7y ago
These days it’s either write at least some clickbait outrage pieces or go broke. Journalism as we used to know it is mostly dead.
lucian1900 7y ago
Which socialist countries are you talking about? The entire list is tragically short.
troupe 7y ago
> Capital gains tax should probably be mentioned. Why is it a much lower rate than income tax? Why not talk about that? The lower capital gains tax is to encourage the things that the economy needs...namely investing in creating and growing companies.

chriogenix 7y ago

basically this. in these mostly socialist countries, the top income bracket starts much much lower than in the US. these countries tax the middle class and consumption with VAT ranging from 15-21% on consumption. in spain the top bracket starts around 60,000 euros a year and its 45% not including local tax. these policies and similar ones in other countries in effect keep the rich rich and make it much, much harder for the poor/middle class to move up.

namdnay 7y ago
I agree that corporation taxes are a bad idea, however I don't understand your argument about the tax rates in spain. How do they "keep the rich rich and make it much, much harder for the poor/middle class to move up"? You said yourself that the marginal income above 60k is taxed at 45% - that's clearly heavily taxing the rich
dep_b 7y ago
Yup, moved back to one of those countries from a 20%-ish country and since I'm still not rich enough to have tons of deductions I'm really getting squeezed out of about half what I earn.
the_gastropod 7y ago
These socialist countries have better economic mobility than the U.S. does... https://www.economist.com/graphic-detail/2018/02/14/americans-overestimate-social-mobility-in-their-country https://www.economist.com/graphic-detail/2018/02/14/american...

jtms 7y ago

These days it’s either write at least some clickbait outrage pieces or go broke. Journalism as we used to know it is mostly dead.

lucian1900 7y ago

Which socialist countries are you talking about? The entire list is tragically short.

troupe 7y ago

> Capital gains tax should probably be mentioned. Why is it a much lower rate than income tax? Why not talk about that? The lower capital gains tax is to encourage the things that the economy needs...namely investing in creating and growing companies.