3 ms·

>This is a feature not a bug as taxing companies is less efficient from just having employee pay as a deduction that gets taxed downstream. Trying to tax this m

by LocalH 6y ago

>This is a feature not a bug as taxing companies is less efficient from just having employee pay as a deduction that gets taxed downstream. Trying to tax this money before it gets to employees would result in double taxation as the company would pay and the individual would then pay again. So the corporation gets to enjoy low tax obligation, and push that obligation onto their employees. And that's a feature? The system is truly fucked.

fma 6y ago
Yep....the claim is companies create jobs thus should have tax benefits. But I'm pretty sure the only reason that company can create job is because I purchased items from them. If a company creates jobs because good/services were purchased, then why not empower the purchaser with more purchasing power? In a supply/demand economy, the supply side is reaping the benefits...if you give benefits to the demand side then that's labeled as making people lazy LOL. 70% of the GPD is driven by personal consumption but we're often told that we are meaningless to the economy and should give tax benefits to companies to "create" jobs. (https://www.thebalance.com/personal-consumption-expenditures-3306107 https://www.thebalance.com/personal-consumption-expenditures...)
- LocalH 6y ago
  The main problem with today's society is the power imbalance. If we can solve that, we'll flourish.
prepend 6y ago
Companies are owned by people. The idea is companies push all profits to shareholders and employees. It’s fucked that people don’t understand this and think that taxing companies is somehow different than taxing people. As long as taxes are paid the calculus should be in what’s most efficient. I don’t care if the company pays it directly or indirectly through people. What’s actually stupid is that dividends are taxable. Since they are after tax the company pays taxes, sends the remaining money to shareholders as dividends. Then then the dividends are taxed at the individual level. What’s even stupider is that is a company is a shareholder. It pays taxes on that dividend income, then distributes to shareholders. It’s not the system that’s fucked, it’s your understanding of the principles of the system. I suggest a microeconomics 101 MOOC.

by LocalH 6y ago

fma 6y ago

Yep....the claim is companies create jobs thus should have tax benefits. But I'm pretty sure the only reason that company can create job is because I purchased items from them. If a company creates jobs because good/services were purchased, then why not empower the purchaser with more purchasing power? In a supply/demand economy, the supply side is reaping the benefits...if you give benefits to the demand side then that's labeled as making people lazy LOL. 70% of the GPD is driven by personal consumption but we're often told that we are meaningless to the economy and should give tax benefits to companies to "create" jobs. (https://www.thebalance.com/personal-consumption-expenditures-3306107 https://www.thebalance.com/personal-consumption-expenditures...)

LocalH 6y ago
The main problem with today's society is the power imbalance. If we can solve that, we'll flourish.

prepend 6y ago

Companies are owned by people. The idea is companies push all profits to shareholders and employees. It’s fucked that people don’t understand this and think that taxing companies is somehow different than taxing people. As long as taxes are paid the calculus should be in what’s most efficient. I don’t care if the company pays it directly or indirectly through people. What’s actually stupid is that dividends are taxable. Since they are after tax the company pays taxes, sends the remaining money to shareholders as dividends. Then then the dividends are taxed at the individual level. What’s even stupider is that is a company is a shareholder. It pays taxes on that dividend income, then distributes to shareholders. It’s not the system that’s fucked, it’s your understanding of the principles of the system. I suggest a microeconomics 101 MOOC.