Wednesday, May 25, 2016

Corporate Taxes Hurt All of Us

The dirty little secret of the corporate income tax is that corporations don’t really pay taxes. They are not living beings that know they are being taxed. Rather, shareholders shoulder the burden in the form of reduced dividends and lower stock valuations.
If a company’s “effective” tax rate (after deductions and credits) is 27%, that is what shareholders pay. And they pay that whether they own 10 shares or 10 million shares, and whether the shares are in a standard account or in an IRA, 401(k) or pension fund.

A lot of these taxes are paid by those who buy the products - "corporate" taxes are just a sneaky way pols take our stuff from us at gun point.

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