Posted by Guest (Post 1494112)

Wonder how many of the pre-existing obamacare insured will be making lots of money on this tax reform. ZERO

Posted by Guest

Sure, it's actually not that difficult to understand if you have an open mind.

And no, it's not the same as paying the minimum on your credit card bill.

Lowering corporate taxes gives corporations the incentive to base their operations here as opposed to countries where the corporate tax rate is much lower. That creates more jobs in this country. All of those workers pay taxes. Also, the corporations make more of a profit. They are tax on the amount of profit that they make.

Also because more companies are doing business here, more people are working and paying taxes. Albeit at a lower rate.

A lot of people look at this as a zero-sum game. It is not. The way a lot of people see it is that there is a pie and the government is going to take a smaller piece of that pie so how can they make more money. The answer is that by cutting taxes, we make the pie bigger. They take a smaller percentage of a much bigger pie. The net amount is more than the larger percentage of the smaller pie.

But, I do agree that government spending is completely out of control. Unfortunately, Congress uses spending as a way to get re-elected and to keep their party in power. It's often said that most Americans hate Congress, but love their representative and senator. That's because the reps and senators, "bring home the bacon". They bring money back home to your state and district. The bring projects and jobs. The problem is that the bacon that they bring home was called pork when it was attached to whatever unrelated bill that they stuck it on. Much of these projects are unnecessary or should be dealt with on the state level. But then they wouldn't get any credit. So they take money from the state, take out a percentage and then "bring home the bacon".

All of this takes place because we don't determine a firm budget at the beginning of the year. We need a balanced budget amendment to the Constitution if this overspending is ever going to stop. We need to determine how much we're going to take in and how much we can spend. Then that amount needs to be divided up. It's the same way you run your household. It's the same way that businesses are run. These are simple rules of budgeting, but our government doesn't play by rules. This tax cut will increase revenues to the government like every other tax cut has and Congress will spend more than they take in.

Actually reducing the corporate tax rate to zero would reduce prices on consumer goods and services across the board.

People need to start understanding that blaming the big bad corporations for not paying enough taxes is political theater. it's helpful if you understand that corporations and other businesses don't actually pay taxes. They simply collect the money from the ultimate consumer and pass it on to the government. All tax money that makes it's way into the hands of the government comes from the ultimate consumer. It's built into the price of goods and services. Corporate tax is actually nothing more than a big sales tax. You and I pay the coroporate taxes. Get rid of corporate taxes and prices of consumer goods and services would come down across the board, effectively putting more money into our pockets.

Posted by Guest

You make some very good points. There are two big items not mentioned that are really directing our future. The cost of our military and healthcare. Neither has or will be addressed until we hit a wall. A reduction in corporate tax rate will not bring high paying manufacturing jobs back to America in a world economy. When the cost of military and healthcare is figured into wage costs we are not anywhere near competitive. Our competition is just as smart as we are and work a hell of a lot harder. We are not the only game in town any longer.