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You can make an argument, and I think many people have, that only rich people should be taxed and not corporations, because only some of the stakeholders in cor
by vba616 4y ago
You can make an argument, and I think many people have, that only rich people should be taxed and not corporations, because only some of the stakeholders in corporations are rich.
But there are two questions that I can think of raised by eliminating taxation of corporations.
One is, will the revenue be made up by increasing taxes on rich individuals; and,
Two, how can we prevent wealthy individuals from using corporations to shelter their income from taxes, if they are all tax free? I'm not sure it is a simple problem.
Plus, do the complaints about "double taxation" really make much sense in the big picture? Money flows around and around in the economy and gets taxed an unlimited amount of times in the long run.
Maybe there are reasons for aspects of the current system that seem kludgy at first glance.