OASIS FORUM Post by the Golden Rule. GoldTent Oasis is not responsible for content or accuracy of posts. DYODD.

Mr Copper, interesting analyses.

Posted by ferrett @ 5:41 on October 25, 2024  

But I think Trump has it back to front. I think corporate tax should be the first to go.

I cannot see the logic of taxing the means of production. That must be the most regressive tax ever. No company tax means:

More money for investment, instead of giving money to the government; and/or

more money for dividends which will include peoples retirement funds if they have stocks; and/or

more money for wages.

It does mean you must make sure that employees can’t take benefits tax free, but, overall a huge benefit to the companies will be not having to comply with the mountains of tax legislation. This will inevitably mean the loss of millions of tax accountants and lawyers – Elon, take note.

Gives a competitive advantage internationally.

A drawback is that capital inflows would be enormous and destabilising. Capital controls are usually needed to prevent outflow of capital, but here Trump would need ones preventing inflow.

A couple of years of this and American industry will be booming, taking back production from China, Mexico, Vietnam, India etc. and income tax revenues will be rising. Tack on Elon’s slashing of govt waste and regulations, higher employment (lower welfare benefits), RFK’s MAHA (lower health care costs) and now you can cut income tax from a sound basis. Starting by raising the tax free income level so the poorest benefit first.

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Post by the Golden Rule. Oasis not responsible for content/accuracy of posts. DYODD.