Comments on: The Friedman-Reich Project http://www.bloggernews.net/119016 High-quality English language analysis and editorial writing on the news. Thu, 16 Feb 2012 10:15:19 +0000 http://wordpress.org/?v=2.3.3 By: Jade http://www.bloggernews.net/119016#comment-901419 Jade Wed, 14 Jan 2009 21:57:01 +0000 http://www.bloggernews.net/119016#comment-901419 Thanks for this petition. I'm a liberal and used to rail against large corporations NOT paying taxes until I read Supercapitalism and realized that one of the best ways to kick corporate America out of our democracy, and to chip away at inequality and corporate welfare is to abolish the corporate tax. Thanks for this petition.

I’m a liberal and used to rail against large corporations NOT paying taxes until I read Supercapitalism and realized that one of the best ways to kick corporate America out of our democracy, and to chip away at inequality and corporate welfare is to abolish the corporate tax.

]]> By: Michael Avari http://www.bloggernews.net/119016#comment-826670 Michael Avari Tue, 16 Dec 2008 15:32:55 +0000 http://www.bloggernews.net/119016#comment-826670 Ed, Thank you for your comment. Ending double taxation does not mean the government loses revenue. Because corporations are artificial entities, any tax they pay on profits comes from somewhere: higher relative prices paid by consumers, lower wages, or less profit distributed to the owners (shareholders). In other words, individuals are paying this tax presently. Most corporations and businesses--such as sole proprietorships, LLCs, LLPs, and S-Corps--are taxed at only the owner level. This program addresses the other types, mostly C-Corps, that are likely to be in 401(k), IRA, 529, and other savings plans. Note these are also likely to be ones "too big to fail" and which are bringing down the economy. By ending corporate double taxation, we can eliminate subsidies and tax credits (why would they be needed if there is no corporate tax?), and can justify ending bailouts and fiscal stimuli. All these would be net decreases in government spending or increases in revenue without affecting services. Note also that the captial gains tax will no longer be necessary as all taxes will be paid at the normal indiviudal rates. Capital gains are favored shelters today and used extensively by hedge funds to shield their profits. Further, because capital markets and savings and investment will be revitalized, I suspect government will end up with more revenue from a growing economy. Consider this the mother of all stimuli! Ed,

Thank you for your comment. Ending double taxation does not mean the government loses revenue. Because corporations are artificial entities, any tax they pay on profits comes from somewhere: higher relative prices paid by consumers, lower wages, or less profit distributed to the owners (shareholders). In other words, individuals are paying this tax presently.

Most corporations and businesses–such as sole proprietorships, LLCs, LLPs, and S-Corps–are taxed at only the owner level. This program addresses the other types, mostly C-Corps, that are likely to be in 401(k), IRA, 529, and other savings plans. Note these are also likely to be ones “too big to fail” and which are bringing down the economy.

By ending corporate double taxation, we can eliminate subsidies and tax credits (why would they be needed if there is no corporate tax?), and can justify ending bailouts and fiscal stimuli. All these would be net decreases in government spending or increases in revenue without affecting services.

Note also that the captial gains tax will no longer be necessary as all taxes will be paid at the normal indiviudal rates. Capital gains are favored shelters today and used extensively by hedge funds to shield their profits.

Further, because capital markets and savings and investment will be revitalized, I suspect government will end up with more revenue from a growing economy.

Consider this the mother of all stimuli!

]]> By: Ed Scott http://www.bloggernews.net/119016#comment-825902 Ed Scott Tue, 16 Dec 2008 00:17:38 +0000 http://www.bloggernews.net/119016#comment-825902 Given the size of government (and empire) the revenue stream cut from corporations will need to come from somewhere. The fact there a deficits shows that taxation will necessarily rise. It seems that those who want to shrink government cannot accomplish this by cutting revenue as most conservatives are hawks and thus are wedded to entitlements as much as anyone else. The failure to trim the size of government come precisely from the loons within the Republican Party. Mostly militarist, islamophobe, and conspiracists who decline civility because being ideological pure means they are incapable of factual error. As much as conservatives say they are for small government their coalition with these loons means that conservative principles are meant to curb social entitlements only. In this political atmosphere the country is in no mood to fund Wall St bailouts to the tume of a trillion and then terminate corporate taxation. Thus the conservatives will need a 'Plan B' which entails cuts in the military and in some of the 500+ military bases maintained around the world. Start with Korea and Okinawa. More later. Given the size of government (and empire) the revenue stream cut from corporations will need to come from somewhere.
The fact there a deficits shows that taxation will necessarily rise.
It seems that those who want to shrink government cannot accomplish this by cutting revenue as most conservatives are hawks and thus are wedded to entitlements as much as anyone else. The failure to trim the size of government come precisely from the loons within the Republican Party. Mostly militarist, islamophobe, and conspiracists who decline civility because being ideological pure means they are incapable of factual error.

As much as conservatives say they are for small government their coalition with these loons means that conservative principles are meant to curb social entitlements only. In this political atmosphere the country is in no mood to fund Wall St bailouts to the tume of a trillion and then terminate corporate taxation.

Thus the conservatives will need a ‘Plan B’ which entails cuts in the military and in some of the 500+ military bases maintained around the world. Start with Korea and Okinawa.

More later.

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