The only entity that can pay taxes, ultimately, is the individual consumer. "Corporate Taxes" are a myth. If the government wants to raise a million dollars to buy diapers for needy babies, and charges the Great Big Diaper Co. a $1,000,000 tax for the purpose, then Great Big Diaper Co. is going to have to lay off $500,000 worth of employees and raise diaper prices by $500,000. (Unlike the government, GBDC can't just print money.)It really is as simple as that, folks. "Corporate taxes" are, in the long run, just regressive taxes that don't hurt progressives at the ballot box because the electorate is collectively about as smart as a colony of clams.
Now you have more needy babies and diapers are more expensive. Good job, government!
Tuesday, May 05, 2009
Follow the money...
Once again comes the brouhaha over "taxing corporations" to make them pay their "fair share"; a debate that is always revealing in that it displays some fundamental ignorance of just where those "corporate taxes" come from. Every dollar that, say, Coca-Cola or Intel pays to the government comes directly out of your pocket. As I mentioned in comments here: