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> The working class shouldn't be subsidizing large corporations. Totally agreed. This is exactly why HN’s constant support for corporate tax avoidance confuses
by yunohn 5y ago
> The working class shouldn't be subsidizing large corporations.
Totally agreed. This is exactly why HN’s constant support for corporate tax avoidance confuses me. Most HNers live in high CoL countries, where corps do not pay their share of taxes. This leads to the same HNers paying more taxes to support their country. Truly hilarious!
- 238475235243 5y agoBecause it all works out in the end. If a company is taxed more it just means less profits which means I have a smaller 401k, fewer employees and so on, buys less materials, does less work... Corporations aren't magic money trees. It's like damming a river, you don't get magic free water and get to send water downstream too. Dams have lots of downsides in return for controlling flow.
- yunohn 5y ago* Untaxed profits go to shareholders and executives, not employees. * Higher taxes does not mean companies will attempt to output less revenue. Why would companies work /less/? Do HNers work less or ask for lower salaries due to being in higher tax brackets?
- 238475235243 5y agoSounds like you haven't run a company, with respect.
- yunohn 5y agoDo you have a non-personal reply? Maybe with some substance or explanation?
- 238475235243 5y agoSome thing are experiential. I can't substantially explain riding a bike to someone who hasn't gone through the process of learning and then being able to ride. It just won't really make any sense and there isn't a frame of reference. I strongly recommend starting a company and trying to sell something if you truly want an answer to your question.
- delusional 5y agoThat incorrect in my view. Higher taxes might mean more profits if those taxes go towards infrastructure or other things that increase productivity. Corporations aren't also a zero sum game. More taxes could mean more profit. Make the whole pie bigger an all that.
- 238475235243 5y agoNot really true. If I know I'll make a bunch of money this coming year I can choose to book it as profit or I can hire more people or build a factory. I would love to live in a universe where higher taxes somehow magically gives more profit.
- deleted 5y ago[deleted]
- m463 5y agoPersonally, I don't know, but one argument friends have made is that you "tax what you want less of" and taxing businesses might create a smaller economy. I also wonder about the laffer curve, where sometimes higher taxes might lead to lower tax revenue and vice versa.
- krastanov 5y agoThat statement seems incomplete to me. It should be "you overtax what you want less of, but you tax most things at a baseline level".