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> Corporations should not pay income tax at all. It's a direct tax on savings and investment No corporation pays (or has ever paid) a dollar of tax on money sp
by jellicle 6y ago
> Corporations should not pay income tax at all. It's a direct tax on savings and investment
No corporation pays (or has ever paid) a dollar of tax on money spent for investment in the business. Corporate taxes, by design, only affect those dollars the corporation has chosen NOT to invest in the business.
- valuearb 6y agoProfits are frequently reinvested, taxing them means less to reinvest, and lower returns for investors, which means less incentive to save & invest.
- jellicle 6y agoEvery dollar invested becomes untaxed, whether that happens immediately or is delayed. Always has.
- valuearb 6y agoI invest $1M building a great new store for selling widgets. My first year I make a $1M profit. I want to build a second store, but I can't out of profits, because I only can net $700k because of state and federal corporate income taxes.
- jellicle 6y agoAs you'll immediately get that $300K refunded with your next tax return, it should be trivial to borrow money for a few months. The idea that there's no access to capital to build out successful businesses is laughable.