4 ms·
If it's a real loophole, the government is out of luck; best it can do is remove it next year. When the money flowing through a corporation actually makes some
by closeparen 6y ago
If it's a real loophole, the government is out of luck; best it can do is remove it next year.
When the money flowing through a corporation actually makes someone rich, it becomes his personal income. It's not clear that corporations paying their own taxes is even a good idea vs. collecting the same revenue through higher marginal tax rates on the beneficial owners.
- wolco2 6y agoExpensives can be hidden at the corporate level but used personally. The company plane can be used for both personal/business and those are hard to separate.
- gnicholas 6y agoThere are actually very detailed rules about how personal use of corporate planes needs to be reported for both tax purposes and shareholder reporting purposes. Even if a plane is already going from City A to City B for business purposes, if the CEO brings a spouse along for personal reasons, there can be reporting consequences. Of course, this only matters if the company is under sufficient scrutiny to actually report such details.
- srtjstjsj 6y agoDonald Trump deducts all his personal expenses from his businesses because he claims his personal lifestyle is a marketing program for his businesses.
- hugh-avherald 6y agoTax loopholes can generally be closed retrospectively.
- gnicholas 6y agoAt least in the US, there are constitutional issues created by changing tax laws with retroactive effect.