national debt

[Iriemon]

Hadn't seen the prelim numbers for 2005 yet. It seems from the comments there that much of the increase is likely from paying the deferred taxes resulting from the previous acceleration of depreciation. This is to expire this year, but still may be extended. If it is extended most of the projected increase in revenue would be pushed forward to a later date or, in the case of it becoming permanent, disappear altogether.

I disagree with the premise that corporations should be free of taxes.

"The effect of such taxes is that the cost is added to the price of goods and services, making them more expensive for consumers and making our corps less competitive abroad."

This is also the effect of employer side of payroll taxes, all sales taxes, property taxes on commercial real estate, taxes on energy sources ( gas taxes being the largest ), etc.

Since corporate taxes are standard in most countries, those in the US have little impact on competetiveness.

Take it to its extreme. Corporations pay all taxes, individuals pay none. Corporation recoup some of the cost through higher prices. The CEO makes his $3 million. Tax free.

Corp pays no tax, prices of goods are lowered, and the CEO pays tax.

Corp tax is, at least in part, a sales tax. If we want a national sales tax, we can debate that, but IMO it makes more sense that the CEO is taxed on his income -- he is the beneficiary.

 

[gwynn]

In terms of the extremes, I don't see that either makes sense. The US does not exist in a vaccuum, so tax laws which are heavily skewed either way are not benificial.

Regardless of who is paying the taxes, the use of offshore tax havens needs to be stopped.