11 February 2010

Why We Are Demanding Higher Taxes On Ourselves

Social justice advocates and spread the wealthers kick their chops at the sound of something like closing the cooperate tax loopholes and finally making the evil corporations pay their "fair share."

The tax system is “full of corporate loopholes,” Obama said at the White House today, as he outlined the plan along with his tax cheat, Timothy Geithner. The tax proposals, which will be part of a detailed budget the administration releases later this week, would raise a total of about $210 billion over the next decade.

Oh great! Onward to victory! Go get those rich fatcats!

The only problem with that is corporations do not pay taxes. They transfer them. Every single tax charge a company pays is built into the cost of their good or service. Higher taxes on corporations really means higher taxes on the consumer.

It is quite interesting really, to view all of these people get whipped up by the government, into an angry mob of people against corporations demanding higher taxes on themselves.

So you have all of these people, the ones who think they deserve tax cuts and no one else. The people who think that they are doing something by demanding corporations pay more in taxes, are getting fooled by this rather straight forward economic logic.

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