Trump Wants No Tax For Americans Making Less Than $150,000 A Year

[Toddsterpatriot]

It's a LIE if you are implying the U.S. has the highest net corporate tax rate in the world!

When it was 35%, it was the highest. 21% is now competitive.

 

[Toddsterpatriot]

No, we were not the 4th highest in the world in our EFFECTIVE tax rate.

The statutory rate is always high, but with all the tax breaks, standard deductions and write offs we give corporations, gives corporations a much lower EFFECTIVE corporate tax rate.

When 39% was the high statutory rate on paper, 4th highest,the actual average corporate tax paid by them was 16%.

Now, after dropping to a 21% statutory nominal rate, corporations actual effective tax rate that they pay, is around 9%, with 25%-40% of big corporations paying no tax at all.

The statutory rate is always high, but with all the tax breaks, standard deductions and write offs we give corporations, gives corporations a much lower EFFECTIVE corporate tax rate.

Effective rate? That's funny. What standard deduction do we give to corporations?
They pay 21% of corporate income.

 

[Care4all]

Was the highest, or nearly the highest, until 2017...

View attachment 1094699

How the U.S. Corporate Tax Rate Compares to the Rest of the World

Most countries tax some form of corporate income. However, the rates differ around the world, ranging from 0% in Bermuda to 55% in United Arab Emirates. The rest of the world, of course, falls somewhere in between. The GDP-weighted worldwide average is just under 30 percent. With most countries...

taxfoundation.org

Interestingly, after the Trump tax cuts were passed one Dec 19th, 2017 Treasury receipts soared 24% in the following three years during Trump's term. [Source link]

The statutory rate is always high, but with all the tax breaks, standard deductions and write offs we give corporations, gives corporations a much lower EFFECTIVE corporate tax rate.

Effective rate? That's funny. What standard deduction do we give to corporations?
They pay 21% of corporate income.

They are averaging paying 9% in federal corporate income taxes, since the statutory rate was lowered to 21%.

When the highest fed corporate tax rate was 39% before the Trump tax break, they were on average paying 14% in fed corporate tax.....NOT the 39%.

 

[Toddsterpatriot]

They are averaging paying 9% in federal corporate income taxes, since the statutory rate was lowered to 21%.

When the highest fed corporate tax rate was 39% before the Trump tax break, they were on average paying 14% in fed corporate tax.....NOT the 39%.

They are averaging paying 9% in federal corporate income taxes

Baloney.

 

[Care4all]

They are averaging paying 9% in federal corporate income taxes

Baloney.

Try looking it up.....effective corporate tax rate vs. statutory corporate tax rate.... Net vs Gross.

 

[Lisa558]

They are averaging paying 9% in federal corporate income taxes, since the statutory rate was lowered to 21%.

When the highest fed corporate tax rate was 39% before the Trump tax break, they were on average paying 14% in fed corporate tax.....NOT the 39%.

Those are after deductions. We WANT businesses to grow and provide services or products, provide livings for employees, and enable responsible people to increase their retirement holdings.

You want to keep businesses down because you are a leftist and want the government to do these things - even though we are $36T in debt.

GROWING, SUCCESSFUL BUSINESSES ARE A PLUS.

 

[Lisa558]

Try looking it up.....effective corporate tax rate vs. statutory corporate tax rate.... Net vs Gross.

1. So if I own a business and have $1 million in revenue and have operating costs of $850,000, leaving me with a $150,000 profit, you think I should pay income tax on $1 million?

2. Similarly, if your gross paycheck is $80,000, but after deductions for FICA, your mortgage, your property tax, etc., your net income is $45,000, you should pay income tax on $80,000?

 

[Jim H - VA USA]

They are averaging paying 9% in federal corporate income taxes, since the statutory rate was lowered to 21%.

When the highest fed corporate tax rate was 39% before the Trump tax break, they were on average paying 14% in fed corporate tax.....NOT the 39%.

Well, yeah, there are tax credits that reduce the effective rate. Same thing applies for individuals.

A big one is the foreign tax credit. Corporations who pay taxes to foreign countries get to deduct that. Makes sense. Obviously, what we need to do is get these companies to come back to the US, so they pay taxes to us instead of other countries. Thus, the tariffs.

When Trump slashed the corporate tax rate nearly in half, US treasury receipts increased by 25% in three years.

Seem to me that Dems want to increase US corporate tax rates, and also cancel tariffs. This would drive businesses overseas and simultaneously decrease money for the fed.

Republicans really need to work on their messaging. So many Dems think profitable corporations are greedy and evil, when in fact, they fund everything from employment to infrastructure.

Regards,
Jim

 

[Toddsterpatriot]

Try looking it up.....effective corporate tax rate vs. statutory corporate tax rate.... Net vs Gross.

Try looking it up.....effective corporate tax rate vs. statutory corporate tax rate.

I don't need to look up your silly claim.
Corporations pay 21% of taxable income.
If you want to add extra money to their taxable income to claim they should also pay extra taxes on the money you added, you should definitely do that, but that doesn't magically change their tax rate to 9% or whatever fake number ProPublica or the CPUSA pretends they're paying.

Net vs Gross.

They don't pay taxes on gross income.

 

[M14 Shooter]

Everyone who claims that we the consumer pays the corporate tax because it is incorporated by the business in to the the retail pricing, that we pay at the register.

True.

If it is the case that when taxes go up, so does the retail price for us due to their retail mark up business plan that covers the tax expense,

Also true.

then accordingly, if the taxes go down through a tax cut, the retail price should go down.

Non seq.

 

[FredVegbarfuss]

So removal of tax to the lower income people might happen, while benefits to them are already being stripped away, leaving some with inadequate means to still survive...
And what attention is there to the gestapo, um, the KGB, no, I meant, um, ICE?

 

[initforme]

When it was 35%, it was the highest. 21% is now competitive.

So with low labor costs as they are in america combined with 21 percent we can bring jobs back and raise wages bigly.

 

[iamwhatiseem]

Trump says a lot of things.

And other politicians don't?

 

[Dr.Destructo]

I would rather see a flat tax on personal income and a flat tax on corporate income with no deductions, but this would certainly be better than the current code and I would support it, but don't hold your breath. It's unlikely to happen. If it's actually proposed, it will be interesting to see who stands against it and why.

I've always thought that should be a better process as well.

I call it The ONE Tax. One flat tax, different percents to the different levels of income.

Zero to 50K a year = no taxes
50K to 100K a year = 1%
100K to 200K a year = 3%
200K to 300K a year = 5%
300K to 500K a year = 7%
anything over 500K a year = 10%

Business/corporates pay 20% per net million annually.

 

[Lisa558]

So with low labor costs as they are in america combined with 21 percent we can bring jobs back and raise wages bigly.

Yes, and Trump’s tariffs will result in more companies coming back to America.

With the lower corporate tax, corporations have been spending the extra earnings they’ll allowed to keep in three ways:

1) Returning more to the stockholders, largely via the increased value of the stock

2) Increasing wages, which indeed have been happening (we have our first REAL wage increase on lower earners in decades)

3) Saving some for future growth and advancement

 

[iamwhatiseem]

One thing I want to say - is NO ONE should receive back more than they pay in.
The IRS is not the Internal Redistribution Service.
If you are poor - I am ok with 0% tax. But getting a check for several grand every year should not happen.

 

[Lisa558]

I've always thought that should be a better process as well.

I call it The ONE Tax. One flat tax, different percents to the different levels of income.

Zero to 50K a year = (1%)
50K to 100K a year = 1% (5%)
100K to 200K a year = 3% (10%)
200K to 300K a year = 5% (15%)
300K to 500K a year = 7% (18%)
anything over 500K a year = (20%)

Business/corporates pay 20% per net million annually.

The problem with your numbers is that overall tax revenues would plummet, and drive our deficit even higher. But the concept is good - we’d just need higher rates across the Board, which I’ve added to your post above.

P.S. I have also added in 1% for those under 50k. Everyone should have skin in the game, and $400 for someone earning $40000 is very reasonable.

 

[Lisa558]

I've always thought that should be a better process as well.

I call it The ONE Tax. One flat tax, different percents to the different levels of income.

Zero to 50K a year = no taxes
50K to 100K a year = 1%
100K to 200K a year = 3%
200K to 300K a year = 5%
300K to 500K a year = 7%
anything over 500K a year = 10%

Business/corporates pay 20% per net million annually.

P.S. What’s your suggestion for businesses earning less than $1 million per year? The vast majority are small enterprises that do not net anywhere near $1 million.

 

[Lisa558]

One thing I want to say - is NO ONE should receive back more than they pay in.
The IRS is not the Internal Redistribution Service.
If you are poor - I am ok with 0% tax. But getting a check for several grand every year should not happen.

If you add in the child tax credit, the TANF, the food stamps, etc., many of getting $30,000 a year tax-free.

 

[pknopp]

And other politicians don't?

Yes, and I condemn them. Like when Newsome pretended he was going to ban the sale of gas cars in California.

Why do you simply accept their obvious political mumbo jumbo?