The new GOP tax bill proposes a 5% tax on international money transfers sent by non-citizens from the US.

[Cellblock2429]

Who cares?
It is their money
They earned it

Who cares if they spend it on Tacos and Cerveza or send it home to a starving family back home?

/——/ Capital gains and interest are monies I earned. Why am I taxed on them?

 

[rightwinger]

If immigrants send money home there is less reason for their family to immigrate here

 

[EvilCat Breath]

They do pay taxes on the money they earn and spend

Then a remittance tax is just like a sales tax

 

[Moonglow]

It is generally accepted that remittances can have an impact on inflation in the recipient country, but the relationship is complex and not always straightforward.
How remittances can contribute to inflation:

• Increased aggregate demand: When remittances are received, they increase the disposable income of recipient households, leading to higher spending on goods and services, which can drive up prices and contribute to inflation.
• Real exchange rate appreciation: Remittances can increase the supply of foreign currency in the recipient country, potentially leading to an appreciation of the real exchange rate. This can make imports cheaper and exports more expensive, potentially affecting domestic prices.
• Dutch Disease: This phenomenon suggests that large remittance inflows can lead to a shift of resources from the tradable sector to the non-tradable sector, potentially hindering export competitiveness and contributing to inflation in the non-tradable sector.
• Increased money supply: When the central bank needs to buy foreign currency from remittance inflows to maintain the exchange rate, this can increase the domestic money supply. If this increase is not offset by sterilization policies (actions taken by the central bank to control the money supply), it can lead to inflationary pressures.

Factors influencing the impact of remittances on inflation:

• Exchange rate regime: The impact of remittances on inflation can vary depending on whether the country has a fixed or flexible exchange rate regime.
• Use of remittances: If remittances are primarily used for consumption, they are more likely to contribute to inflation than if they are invested in productive activities.
• Sterilization policies: The effectiveness of a country's monetary policies in managing the increase in money supply due to remittances is crucial.
• Financial development: In countries with well-developed financial systems, remittances may be more likely to be invested, potentially mitigating inflationary effects.

In summary: While remittances can contribute to inflation through various channels, the overall impact can vary depending on a range of factors and the effectiveness of policies in managing these effects

 

[rightwinger]

/——/ Capital gains and interest are monies I earned. Why am I taxed on them?

No
Your principle is the money you earned
Capital gains is on profit from that money

Immigrants pay those taxes too

 

[Cellblock2429]

No
Your principle is the money you earned
Capital gains is on profit from that money

Immigrants pay those taxes too

/——/ Legal immigrants do but ILLEGAL ones don’t.

 

[Unkotare]

Only 5%?

 

[WorldWatcher]

I'm not sure how that it could be enforced, but a good idea.

I agree.

I'm retiring in the fall and have been wondering what home based business I could start.

So I'm thinking a money transfer business, with a minimum transfer of $10,000, I could charge 1% of the amount.

Win/WIn.

I'd make $100 per transfer and the person doing the remittance keeps 4%.

WW

 

[iamwhatiseem]

They already pay income taxes and sales taxes

Some, and most of those likely have a negative income tax - getting more back then they pay in. On top of any other free shit they are given. And this is a tax on top of income tax.

 

[Independent thinker]

Seriously, I want to see a higher surcharge than 15% also

Lets start with 25% and raise it higher if the mexicans take counter measures

It all starts with stopping illegal immigration. I don't know exactly how this tax system works but I'm fine with 0% tax on anyone who came here legally. But, coming here illegally and then Biden and other democrats waving a magic wand and making them legal doesn't count. As far as illegals go, they shouldn't be here in the first place to funnel any money back to Mexico. I don't know the exact stats but it seems like in the old days most of these people came from Mexico but over the last several years I'm guessing the majority of illegals aren't actually from Mexico.

 

[Zincwarrior]

How does a wire transfer at 7/11 know if you are citizen?

 

[Mac-7]

It all starts with stopping illegal immigration. I don't know exactly how this tax system works but I'm fine with 0% tax on anyone who came here legally. But, coming here illegally and then Biden and other democrats waving a magic wand and making them legal doesn't count. As far as illegals go, they shouldn't be here in the first place to funnel any money back to Mexico. I don't know the exact stats but it seems like in the old days most of these people came from Mexico but over the last several years I'm guessing the majority of illegals aren't actually from Mexico.

but over the last several years I'm guessing the majority of illegals aren't actually from Mexico.

I have the same impression

Many are not even from Latin America

The surcharge on remittances would have to apply to everyone

 

[Zincwarrior]

The surcharge on remittances would have go apply to everyone

Thats the next step. All transfers are taxed.

 

[rightwinger]

Some, and most of those likely have a negative income tax - getting more back then they pay in. On top of any other free shit they are given. And this is a tax on top of income tax.

WTF is the matter with Conservatives?

Try to raise taxes on the wealthy or corporations and they throw a fit.

Then they point to poor people and say they don’t pay enough

 

[rightwinger]

Why do Republicans want to tax money that immigrants send money abroad but do nothing about corporations and the wealthy who send money abroad?

 

[Cellblock2429]

WTF is the matter with Conservatives?

Try to raise taxes on the wealthy or corporations and they throw a fit.

Then they point to poor people and say they don’t pay enough

/——/ The wealthy pays the bulk of the taxes, and corporations pass taxes on to the consumer —- as it has been explained 1,000 times.

 

[rightwinger]

/——/ The wealthy pays the bulk of the taxes, and corporations pass taxes on to the consumer —- as it has been explained 1,000 times.

Because they have the bulk of the wealth and income.
Then why didn’t corporations cut prices when we slashed the corporate tax rate?

 

[Cellblock2429]

Because they have the bulk of the wealth and income.
Then why didn’t corporations cut prices when we slashed the corporate tax rate?

/----/ Ya know, when Reagan was president, many more Americans paid some income tax and had skin in the game. Today, the top 20 percent of Americans earn 52 percent of the total U.S. income, but pay 87 percent of total income tax [source: Saunders].

"When why didn’t corporations cut prices when we slashed the corporate tax rate?"
Some did, some didn't. Some reinvested, and some gave dividends. Some expanded their business, and some hired more employees. There is no one-size-fits-all in business. Sorry to disappoint.

 

[rightwinger]

When why didn’t corporations cut prices when we slashed the corporate tax rate?"
Some did, some didn't. Some reinvested, and some gave dividends. Some expanded their business, and some hired more employees. There is no one-size-fits-all in business. Sorry to disappoint.

yea……that’s the LIE Republicans told when they pushed through 40 percent tax cuts.

Reality is
There was no measurable cut in prices because it was now cheaper to manufacture
There were no significant increases in pay to share with employees
No measurable expansion in production facilities or modernization
No increase in employment

So what did corporations do with the extra money?
They just kept it

 

[Deplorable Yankee]

It is their money, let them do what they want with it

But yet you belong to a party that want to monitor your transactions of six hundred dollars or more....