Biden's Taxes - the big flaw

Biden is about to propose that we raise taxes on the rich and corporations to help fund his spending bill on education and infrastructure.

I’m all for education and infrastructure. We can discuss those topics if you’d like (how do we hold schools accountable, how do we prevent government funding from further lining the pockets of elite colleges, is going green more important than fixing bridges…) but for this post, I would prefer to discuss the major flaw in our tax revenue model and one that greatly impacts everyone.

Generally speaking:
Democrats want to raise taxes on the rich to provide better services for the poor.
Republicans want to keep taxes low to allow a path for everyone to become wealthy.

Now let’s run down what has been and appears to be the likely path:
Congress and Biden will likely raise taxes on Cap Gains and Corporations. Elite corporations will continue to avoid both via Delaware laws that allow them to move money to tax havens overseas. Thus, the legal bill is very high to avoid getting caught BUT they avoid almost ALL FED taxes. Smaller companies will pay the taxes making it much harder for them to compete with the Elite international corporations. Janet is asking all G20 countries to have a corporate tax to prevent this but think of the hundreds of other non-G20 countries that are tax-havens.

Thus, tax revenues will not reach the target needed to pay for the new spending let alone pay down debt. Biden being from Delaware makes this all the more interesting as Delaware (and sometimes Nevada) is the primary state that hurts IRS revenue.

Now if you could imagine for one minute that we LOWER corporate taxes to 5%, block the loopholes for Delaware (and Nevada). We would not have Elite’s making trillions and paying $0. Instead, we would have a massive new increase in revenue AND it would also stimulate the economy via lowered taxes on the smaller main street companies. Elite companies would also be stimulating the economy as they stop shipping jobs overseas just to avoid corporate taxes.

As for Cap Gains, I’m fine with increasing these but think it won’t impact revenue as people will wait until the next cycle when cap gains are dropped. The new Cap Gains would only impact someone selling millions in one year. With Qualified Small Businesses, the main street business owner that sells wouldn’t pay these taxes and Elite’s would either use the Delaware loophole, pay, or Wait.

Let’s walk down this road 3 years. Taxes have gone up which means Elite companies aren’t likely paying and small companies are. Less small businesses will get (re)started, income will get cut to those employees, and the best upside is being potentially taken away (if it isn’t a Qualified Small Business) which is a big exit for employee-shareholders. Government Debt will continue to increase as our tax revenue won’t increase much. I believe 2025 is when most tax changes from 2017 expire which means we all start to pay for these changes while the Elites continue to avoid taxes. This is when we likely could see a breakeven year for the government but GDP would take as everyone would be paying the government more and spending less.

All to say that Biden’s home state is one of the biggest issues we have in this country. Biden is going to kick off massive spending and tax increases without addressing the ELEPHANT in the room.

Like you said, the tax loopholes are the flaw, not whatever Biden’s proposing. I agree closing these loopholes should be a priority, but I don’t think it will happen. Big Business is too powerful.

Ok. Raise taxes and watch those Big Corps leave the USA. I guess I should have said that.

By dropping the taxes, companies will have two big reasons to pay vs seeking additional loopholes:

  1. The cost of legal is likely higher than the savings IF the corporate tax rate is below 10%.
  2. By investing (paying taxes) in the USA, the GDP will go up and the average employee will have better skills. Not to mention feeling better about doing their part to pay taxes.

Personally, I think we need to leverage the companies so it’s beneficial to remain in the US. But instead of making it cheaper to stay, we should make it more expensive to leave. Remember that taxes aren’t the only reason to leave the US. Cheap labor and materials are already impossible to compete with.

I’d rather make sure they pay their fair share rather than capitulate to their demands of a free ride.

That is fine if antitrust and monopoly laws get enforced. Otherwise, this plan just makes the Elites that much stronger.

This is a big key too.

You see, these companies are shaking the American taxpayer down. They’re controlling their own regulation, and they’re paying as little as possible.

I don’t know a perfect solution, but it’s not to allow them to continue to pay as little as possible and thank them for the scraps they throw at us. The real solution is to close the loopholes, enforce antitrust, and make business subservient to the American people once again.

Any company that moves operations off shore should be taxed heavily.

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I would be on-board with this more than anything! The problem is Biden’s home state doesn’t require documentation for its corporations thus allowing lots of funds to freely flow to other countries. They don’t need financials because… they don’t charge corporate taxes.

Close that loophole, tax the F out of orgs that move operations offshore, enforce existing antitrust and monopoly laws. I’d go as far as to setting up corporate tax brackets: $100M/yr of revenue = 28%, under = 15%. If you are the majority owner of two or more corporations then those are combined revenue as you are the owner/operator.

These changes would likely cause a BOOM of small to mid-size business to the likes the USA has never seen.

NOW. How do we address China who will allow unlimited-sized companies to attack our I.P. with scale?

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I’d be ok with that.

SOMETIMES YOU HAVE TO LET PEOPLE TALK TO SEE HOW UNEDUCATED THEY ARE…

THESE PLANS ARE SIMPLY TO TAKE MONEY FROM US (ALL AMERICANS) SO THEY CAN DISTRIBUTE IT AMONG THEMSELVES (THE EITE)…

IT IS THE BEGINNING OF A DICTATORSHIP HIDDEN IN 6 TRILLION PLUS OF BULLSH1T YET YOU GUYS ARE TALKING ABOUT “TAX PLANS”…

THEY WILL CONTROL ALL THE MONEY AND IN TURN OUR LIVES AS THEY WANT A SOCIETY CONTROLLED BY THEM…

THE SHEEPNESS RUNS DEEP…

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Deep thoughts from someone who can’t write a sentence. You bring absolutely nothing to this board with your narcissistic behavior. It is likely why you refuse to type out your own thoughts: the fear of being wrong with your own thoughts vs. Qanon. Right now you are hiding your weakness on it being a Qanon rabbit hole and you “believe” it will happen. If you wrote it as your own, your narcissism would have to truly own the failure.

As for discussing tax plans, it is a fucking message board not Congress! Everyone here knows none of us have a fucking say. If you don’t want to discuss and add your thoughts outside of your Qanon “the storm is coming” bullshit then GTFOH.

you will now claim I’m trying to sensor you by saying GTFOH like you need your participation trophy. Go cry to your Qanon which you choke on more Stugotz!

NOTICE HE STARTS TALKING ABOUT MY “DEEP THOUGHTS” THEN ENDS SAYING I REFUSE TO TYPE MY THOUGHTS?

#ELITESTUGOTZISM

You clearly missed my sarcasm.

YOU MEAN LIKE WHEN I USED DICKS AFTER YOU BUTCHER THE MEANING OF STUGOTZ AND MADE UP A WORD I HAVE NEVER USED?

#NEXTLEVELELITESTUGOTZ

You opened that box and now a day later are back tracking with a claim of sarcasm. Lol weakass narcissist! Choking on stugotz.

For @GardenStateCane and any wondering why people are so hard on Storm, this thread is Exhibit A.

We were having a nice, intelligent, bi-partisan discussion here, with input from several posters. Then Storm comes in blazing, calling people uneducated sheep, acting like he’s the only one who knows everything. He’s a cancer to this forum.

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CANCER TO THE FORUM…

THE STUGOTZS NEVER CHANGE THEIR TACTICS…

YOU ARE HAVING A DISCUSSION ABOUT AT LEAST 6 TRILLION OF A GOVERNMENT TAKEOVER OF THE WHOLE ECONOMY…

THIS FROM PEOPLE THAT WE KNOW TOOK MONEY FROM CHINA AND NOW SOLD OUR SECRETS TO IRAN AFTER GIVING THEM BILLIONS IN CASH AND A PATHWAY TO A NUCLEAR WEAPON…

A PARTY THAT NOW CLEARLY AT LEAST IN NY TOOK AMERICANS SICK PARENTS AND PUT THEM WITH OTHER AMERICANS HEALTH PARENTS ON PURPOSE TO KILL THEM…

THIS AFTER HAVING US PUT ON MASKS FOR NOTHING AND TAKE AWAY OUR RIGHTS TO DO WHATEVER THE FCK WE WANT…

YOU WERE HAVING A DUMBASS CONVERSATION AND I ENLIGHTEN YOU BUT YOU ARE APPARENTLY NOT BRIGHT ENOUGH TO SEE IT YET…

BUT YOU WILL…

If you would simply write your thoughts out using complete sentences, it would be something I could deal with. I’d also recommend dropping the Stugotz bit as you keep choking on them.

I’ve read 2 Trillion over 8 years so I’m interested to hear where you are getting 6 Trillion. We have 10% unemployment. Getting those 30 million back to work improving our country isn’t a bad idea even if it does require some government spending. If not, we have government expenditures taking care of them with 0 output.

2022 is around the corner and the best you have done is push conspiracies. If we dig deep enough, it wouldn’t shock me to find out most DC Republicans, including Trump, have taken money from China with or without knowing.

Looks like storm brings plenty to the board to me…And you people just keep ducking it.

Again, these points were ok with you? And this is before we even get to the disgusting lockdowns and prolonged mitigation?

Why not start a thread of Biden taking money from China, selling secrets to Iran, or NY killing parents? Those have very little to do with a discussion on taxes.