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That's kind of the point - increase corporate taxation so that companies are incentivized to spend, and spend on actual investments instead of share buybacks. I

That's kind of the point - increase corporate taxation so that companies are incentivized to spend, and spend on actual investments instead of share buybacks. I guess I didn't put it out clearly, but the current definitions of corporate taxation are highly flawed. I once read in a book about corporate management by a Japanese CEO (I think it was Matsushita). His philosophy was that paying taxes should be an inescapable duty of a corporation, since their very existence is facilitated by the government providing them a business environment and their unimpaired customers paying them revenues. Interestingly, I also had a related conversation with someone from the Singapore Ministry of Economy who echoed the same principle, but from the government's perspective - it's the duty of the government to provide a facilitatory and unhindered business environment with reasonable taxation so that companies are incentivized to pay taxes. As of now, the US has a similar corporate tax rate to Singapore yet doing business is worlds different between the two (especially if you don't count Delaware).

Wytwwww 2y ago
> I guess I didn't put it out clearly, Replying just because you said since it's still not clear at all: > but the current definitions of corporate taxation are highly flawed. I assumed that you meant that the government could significantly cut income taxes, raise corporate taxes and end up with the same or higher amount of money. I just don't see how is that feasible unless US could force most other countries in the world to do the same.
- fakedang 2y ago
  The US is already forcing a lot of countries to follow their stead, to the point that the US is now one of the world's best tax havens to park illicit cash. With the Double Irish sandwich being shut down, I can only see more internal schemes being developed within the US - corporations aren't rushing to park gains in Seychelles or Guernsey. The point is that the US needs to find a balance between taxation and good business, kind of like Switzerland in the EU (although I agree, both are different ballgames altogether). The way I see it, there's a triangle here with three vertices to balance against - business pragmatism, optimal taxation and regulations for private markets.

Wytwwww 2y ago

> I guess I didn't put it out clearly, Replying just because you said since it's still not clear at all: > but the current definitions of corporate taxation are highly flawed. I assumed that you meant that the government could significantly cut income taxes, raise corporate taxes and end up with the same or higher amount of money. I just don't see how is that feasible unless US could force most other countries in the world to do the same.

fakedang 2y ago
The US is already forcing a lot of countries to follow their stead, to the point that the US is now one of the world's best tax havens to park illicit cash. With the Double Irish sandwich being shut down, I can only see more internal schemes being developed within the US - corporations aren't rushing to park gains in Seychelles or Guernsey. The point is that the US needs to find a balance between taxation and good business, kind of like Switzerland in the EU (although I agree, both are different ballgames altogether). The way I see it, there's a triangle here with three vertices to balance against - business pragmatism, optimal taxation and regulations for private markets.