Trump will lower corporate tax to 15% from 35% !

ETcallhome · Aug 9, 2016

Scataphagos said:
Sharply "progressive" tax rates are a "power and control" tool of the globalist Lefties.... immoral, too.

Ideally I support a true "flat tax", but I can go along with Trump's "relatively" flat-tax as a practical compromise. Should also include taxes on corporations earnings* world-wide with no exemption to avoid corporate taxes just because earnings are "accumulated" offshore.

*With corporate taxes already paid on earnings, dividends should be tax-free... not taxed a 2nd time as income to shareholders.

no, earnings (and cap gains) should be tax free and taxed the first time on the dividend at a much higher rate than the current rate

jem · Aug 9, 2016

very interesting... seriously... I want to know more.

this would encourage investment by the company and stock buy backs right?
but would there still be enough incentive for investment in new ventures?

for instance if I were starting a small company I would pick LLC and just pay out partnership type profits and income... not dividends.... so if the venture grew when would I want to pay out dividends or go public?

ETcallhome said:
no, earnings (and cap gains) should be tax free and taxed the first time on the dividend at a much higher rate than the current rate

felixbocharov · Aug 9, 2016

vanzandt said:
Its easy. Negative interest rates. We get paid for our debt. Jack em up(down) to minus 6%..... we'll have surplus in no time.

yeah, and the other way is to inflate the dollar. :sneaky:

vanzandt · Aug 9, 2016

I knew I was on to something.

achilles28 · Aug 9, 2016

Ricter said:
In theory, US business should be all over these Drumpfian ideas, because a "20 year boom" would be great for profits. But almost without exception US business fears Drumpfian economics. It's because his ideas are recessionary, and business stands to lose more from another recession than they do from Hillary's tax hike.

No they don't. Name one business that isn't a Fortune 500 shill.

You know like everyone else corporations run American politics and Obama is just another corporate stooge like bush was

How is trumps plan recessionary ? Cutting taxes and regulation is recessionary ? Explain that for us please.

ETcallhome · Aug 9, 2016

jem said:
very interesting... seriously... I want to know more.

this would encourage investment by the company and stock buy backs right?
but would there still be enough incentive for investment in new ventures?

for instance if I were starting a small company I would pick LLC and just pay out partnership type profits and income... not dividends.... so if the venture grew when would I want to pay out dividends or go public?

dividends would be taxed at the same rate as ordinary income. And that would be about it. All returns would be 1040 with a very high and progressive rate, no deductions, not even mortgage or charitable. Cap gains are not taxed at all, let alone over and over again like they are now. Little guys have their pensions in the market and they need a break.

jem · Aug 9, 2016

wait I thought you said earnings would be tax free. you were not talking about individuals earnings?

you want high and progressive personal income taxes? why?

ETcallhome said:
dividends would be taxed at the same rate as ordinary income. And that would be about it. All returns would be 1040 with a very high and progressive rate, no deductions, not even mortgage or charitable. Cap gains are not taxed at all, let alone over and over again like they are now. Little guys have their pensions in the market and they need a break.

ETcallhome · Aug 10, 2016

jem said:
wait I thought you said earnings would be tax free. you were not talking about individuals earnings?

you want high and progressive personal income taxes? why?

without getting in the weeds, wages, interest and dividends would be taxed as ordinary income and that is about it. And taxes on those wages, interest and dividends, would be the governments only source of revenue, hence the need for high progressive rates. The fallout would be most companies would simply eliminate the dividend. Keep in mind there is no cap gains tax. Salaries would quickly hit the point of diminishing returns due to the high progressive tax rates and the only way to get ahead would be to invest in something or start a business. All accounts would be similar to a Roth(which there would be no need for now) with no max but the companies in the Roth are operating tax free. Reg IRA and 401k would still be available on a limited basis with a low max.

Times they are a changin and the end result would be a slow shift from an employee nation to an ownership society. And everything you own operates tax free.