The truth about taxes

[The Rabbi]

By the way, how do we "pander" to big business today? I keep hearing that but no one mentions any specifics.

Here's an example. Did you know that McDonalds gets a tax "kickback" for every person they hire from US taxpayers? AND they finance franchisee leases through the SBA. That's right, the Small Business Administration - for a corporation making billions. How on earth is McDonalds a small business? Also, Micky D's has rigged it so that they get the money if that person they hire is there something like six months or less - not a year or more, which makes more sense from a "subsidy" standpoint... the goal is to get and KEEP people employed. Instead, they're making money churning workers in and out. This is a mega-corp with something like 140% turnover rate. They hire from the LOWEST rungs of society.

There's also this:
Too Much Government Makes Us Sick | Acton Institute

Can you please post where McDonald's gets kickbacks.
Also most McDonald's outlets are owned by franchisees, not the corporation. So they are small companies.
Don't let your hatred of corporations deter your learning the truth.

 

[8537]

We're not discussing currency boards, which are an entirely different animal.
Get with the program.

I'm quite certain I'm with the program. Currency boards are capital controls. That's the primary function of currency board. Why do you think they buy the dollars?

Bank ratios are capital controls too.

OK then.

 

[Sactowndog]

What would you like to see? The fact that the US imports more jobs than it exports? The fact that there is a lot of regulation in manufacturing? The fact that taxes and regulations play an enormous part in the decision to off-shore?
You offer one anecdote. That really isn't very meaningful.

Do you offer anything to substantiate your view? I an referring to a specific instance which is as close as I can come without getting fired. You respond with your opinion which while interesting is hardly conclusive. Given the rate of decline for middle class jobs I don't particularly believe your point but an willing to look at some substantiation if you could provide some.

 

[Sactowndog]

Capital controls can be very effective in nations that don't have large market share. Currency boards have been used with much success. Those controls provide a level of currency and investment stability for smaller economies and can prevent the currency runs that occurred in, for example, the Asian Tigers.

I would agree but my proposal is not that. I am not talking about currency controls of any type.

 

[Sactowndog]

If you have to pay a confiscatory tax then you are not free to move money.
This would seem obvious.

Quit playing games...... you know some countries have imposed controls that prevent taking any money out of the country. Not my intent. Keep it here and it grows tax free. Export the capital and you pay a 20% tax.

Seems fair to me.

 

[The Rabbi]

If you have to pay a confiscatory tax then you are not free to move money.
This would seem obvious.

Quit playing games...... you know some countries have imposed controls that prevent taking any money out of the country. Not my intent. Keep it here and it grows tax free. Export the capital and you pay a 20% tax.

Seems fair to me.

If you think that imposing a 20% confiscatory tax is not controlling capital then you need to learn a few things.

People make money by engaging in transactions. Generally the more transactions accomplished, the more money made. For both parties.
US companies are investing overseas for a reason. Your proposal does not address that reason. Therefore your solution will not solve the problem but make it worse.