1) Corporations sell stock in order to fund their business venture. This venture CREATES jobs.
2) Those stocks are purchased with POST-TAX dollars. Those taxes are used to fund the myriad activities of the government at all levels.
3) The corporation makes a gross profit. Federal corporate taxes ARE PAID on that profit. Then, state and local corporate taxes ARE PAID on the original amount. No allowance is allowed for the federal taxes already lowering the base profit (in most states).
4) The remaining profit is distributed to the stockholders, as a return on their investment. That money is AGAIN taxes, usually as capital gains.
5) The corporation, as an entity, is not able to take a profit. They can reinvest a portion of the gross profit, and that reinvestment CREATES jobs. They have no other use for money.
6) Ergo, the governments get their share - they stifle job creation. They tax the investor, the corporation, and the employees. Frankly, they are running out of entities to tax.
7) The argument that corporations use our infrastructure, and thus should have an increased tax burden, is nonsensical. Investors pay for that infrastructure through the income and capital gains taxes they pay. Why should the government get paid twice from the same dollar?
8) Governments invest in infrastructure in order to attract businesses - and then you propose to create an onerous tax load on the corporation that will drive it out. Does that make any sense whatsoever?
But the reality is that hedge and superannuation funds own massive amounts of these stocks. Not mum and dads....So it's just one big merrygoround where Wall St clips the ticket everytime the gravy train passes them by. About two years ago Apple had over $200 billion in cash reserves. I don't feel sorry for them if they have to pay more..
So ... let's test your knowledge.
Who owns those "hedge and superannuation funds"? When they make money, who makes money? Do those "owners" pay taxes on the income derived from those accounts?
I don't care.
1) Corporations sell stock in order to fund their business venture. This venture CREATES jobs.
2) Those stocks are purchased with POST-TAX dollars. Those taxes are used to fund the myriad activities of the government at all levels.
3) The corporation makes a gross profit. Federal corporate taxes ARE PAID on that profit. Then, state and local corporate taxes ARE PAID on the original amount. No allowance is allowed for the federal taxes already lowering the base profit (in most states).
4) The remaining profit is distributed to the stockholders, as a return on their investment. That money is AGAIN taxes, usually as capital gains.
5) The corporation, as an entity, is not able to take a profit. They can reinvest a portion of the gross profit, and that reinvestment CREATES jobs. They have no other use for money.
6) Ergo, the governments get their share - they stifle job creation. They tax the investor, the corporation, and the employees. Frankly, they are running out of entities to tax.
7) The argument that corporations use our infrastructure, and thus should have an increased tax burden, is nonsensical. Investors pay for that infrastructure through the income and capital gains taxes they pay. Why should the government get paid twice from the same dollar?
8) Governments invest in infrastructure in order to attract businesses - and then you propose to create an onerous tax load on the corporation that will drive it out. Does that make any sense whatsoever?
But the reality is that hedge and superannuation funds own massive amounts of these stocks. Not mum and dads....So it's just one big merrygoround where Wall St clips the ticket everytime the gravy train passes them by. About two years ago Apple had over $200 billion in cash reserves. I don't feel sorry for them if they have to pay more..
But you are wrong.
Let's look at the facts:
View attachment 85473
Now here's the reality. Dumping your partisan made up crap, the facts are that largest segment of the market is IRAs, Retirement plans (401Ks), Defined benefit plans (Pensions, usually for Unions), all of these add up to:
37% of Corporate Stock is owned by "mum and dads".
Of the 15% of stock owned by insurance companies:
6% or a little less than half are part of annuity, which elderly get for stable income.
4% goes to non-profits, which would include things like endowments for Universities or the Red Cross.
Plus the "Other" category includes government holdings, and 529 Savings plans.
That leaves a 20% chunk going to foreigners. What makes up that? Well some of it is foreign companies that buy stock in American companies, just like Ford owned a large chunk of stock in Mazada. So too does the Wanda Group owns stock in AMC Theaters in the US, and Sunseeker International, a yacht company in the UK.
Additionally, pension funds and retirement funds across the world, buy stock in US companies, just like I own stock in Enbridge, Novartis, and Enel.
So once again, a large chunk of Foreign owned stock is "mum and dads"
That leaves us with the taxable accounts. The stocks owned by hedge funds and private investors, and the wealthy 1%, the Waltons and Buffets of the world. All of these people, combined, barely make up 25% of the stock market.
To be as blunt as I can possibly be..... when you dump your dumb partisan left-wing bull crap out the window, here's the reality.
Roughly 50% or more of all the stocks are owned by "mum and dads".
Less that 25% are owned by "hedge and superannuation funds".
And most of the rest, is an indirect benefit to the public, like endowments for universities, insurance company benefits, and the Red Cross and so on.
I just proved conclusively, that you made up that crap. So what is your argument now, huh?