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Originally Posted by Guest
Will a big tax cut create jobs?
the single best reason is that the structure of this ta reform encourages businesses to return to the US and as they do the billions cashed away in foreign banks will return with them. Ergo more business back in the USA more jobs
In my humble opinion
Too many people take a narrow approach when it comes to this tax reform.
Progressive continue to play the justice warrior ( what about me) trope complaining that its all about the rich but its the rich that create opportunities. its a political ploy
If you want to be rich then you can that's the benefit of a capitalistic society.
The goal of tax reform should be to hit the target, to be efficient not fairness . you will never get fairness or a belief by anyone that they have been treated fairly. Fairness as to tax policy is a zero sum game. If tax policy is efficient and effective it will create opportunities for people willing to work.
Personal Best Regards:
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I just read an article that refutes the notion that businesses will be returning to the US. In fact, the new tax code encourages them to keep their profits overseas: "As the United States transitions from a worldwide taxation system to a territorial one, companies will only pay an income tax on profits in the country where it is earned. The Tax Cuts and Jobs Act provides for a deduction on income from an affiliate corporation, known as a participation exemption, of 100%. That means if a U.S. company invests in a foreign subsidiary it will owe no domestic taxes.
“The changes to the treatment of foreign income are massive,” Stephen Hamilton, law partner at Drinker Biddle, told FOX Business. “The participation exemption on its face encourages you to invest overseas rather than in the U.S … [companies] can figure out ways to invest overseas and pay a lower tax rate there and pay no taxes here.”