> Wouldn't a % taxation at source be more effective in retaining money inside the borders? If you're talking about taxing revenue and not deducting expenses l

> Wouldn't a % taxation at source be more effective in retaining money inside the borders? If you're talking about taxing revenue and not deducting expenses like wages etc, yes that's basically how VATs work and they're very popular and can raise a lot of money. The main difference is that falls on consumers and not just shareholders.