Corporate income tax, a silly idea
On 08/04/2011 10:06 AM, Frogwatch wrote:
A corp makes a gadget and needs 10% profit. They get taxed at 20% on
that 10% profit (or .2*.1=.02) so they simply increase their price by .
02. Guess who pays that .02? The consumer does. Corporate income
tax is simply a way to make personal income tax higher without making
it so obvious. The only people it benefits are accountants.
Or if they do not have price elasticity and many don't, less wages.
The economy is like a pie, the more the government gets the less the
people have.
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