Trumps press secretary: Dumb or Lying?

[Jredbaron96]

. That statement is true but the people who are complaining about it are the same people who demand that corporations pay more taxes.

Because corporate tax rates are a tax on profits. Imports are a tax on input and are discriminatory in that they impact business that use imports more than those that don't, resulting in a disparate fiscal and economic impact.

To make a long story short, the corporate tax rate *can* be passed onto consumers, but it's not guaranteed because it also is impacted by how corporations raise money (debt vs equity, net profits, so on). There's no way to get around the issue of the materials you use to make goods getting 25% more expensive to purchase.

 

[trouble13]

Because corporate tax rates are a tax on profits. Imports are a tax on input and are discriminatory in that they impact business that use imports more than those that don't, resulting in a disparate fiscal and economic impact.

To make a long story short, the corporate tax rate *can* be passed onto consumers, but it's not guaranteed because it also is impacted by how corporations raise money (debt vs equity, net profits, so on). There's no way to get around the issue of the materials you use to make goods getting 25% more expensive to purchase.

Yes tariffs are loophole proof. Isn't what the left is always complaining about is people not paying their fair share?

 

[Jredbaron96]

Yes tariffs are loophole proof. Isn't what the left is always complaining about is people not paying their fair share?

No, in fact that's not even remotely the same thing.

 

[trouble13]

No, in fact that's not even remotely the same thing.

I don't see how it's not

 

[Jredbaron96]

I don't see how it's not

Because a corporation importing goods to then either re-sell or using foreign materials to manufacture goods for sale is not even remotely the equivalent of the rich exploiting legal technicalities to avoid paying their taxes.

What makes you think they are equivalent? An ignorance to what either actually are?

 

[trouble13]

Because a corporation importing goods to then either re-sell or using foreign materials to manufacture goods for sale is not even remotely the equivalent of the rich exploiting legal technicalities to avoid paying their taxes.

What makes you think they are equivalent? An ignorance to what either actually are?

I'm talking about businesses not individuals. All taxes they pay are incorporated into the final cost of the product. You are ridiculously claiming otherwise.

 

[Jredbaron96]

I'm talking about businesses not individuals. All taxes they pay are incorporated into the final cost of the product. You are ridiculously claiming otherwise.

Not only is that not true, it's not possible by a literal definition. Corporate taxes are on corporate profits, which are only created by selling the product in the first place.

Its tariffs that are directly a tax on consumers because the imports either are the products or part of the products being purchased by the consumer.

 

[aociswundumho]

Corporate taxes are on corporate profits, which are only created by selling the product in the first place.

Doesn't matter. Taxes are a cost, just like rent or electricity. The average net profit margin for corporations is in the single digits, usually around 8%. The money to pay corporate taxes, rent, and electricity has to come from somewhere, and the people who ultimately pay are shareholders, who receive lower returns; workers, who receive lower wages; and consumers, who pay higher prices.

 

[Jredbaron96]

Doesn't matter.

Yes it does. Tariffs are passed onto consumers significantly more than corporate taxes.

 

[trouble13]

Not only is that not true, it's not possible by a literal definition. Corporate taxes are on corporate profits, which are only created by selling the product in the first place.

Its tariffs that are directly a tax on consumers because the imports either are the products or part of the products being purchased by the consumer.

I amazed that you believe what your posting right now. You apparently have never run a business.

 

[Jredbaron96]

I amazed that you believe what your posting right now. You apparently have never run a business.

I'm pretty sure you know deep down tariffs are a bad idea, and you're just hoping won't be as bad as everyone says or Trump will just keep delaying them.

The corporate tax rate is collected on the profits the corporation reports to the government. Those profits are made by selling products.

Now if you're trying to say that corporations would raise prices on goods if the tax rate went up, sure that's possible, but it's not the equivalent of putting tariffs on imports because the corporation has multiple forms of revenue, expenditures, and money management that simply don't apply when you're taxing an incoming good at a port of entry.

 

[trouble13]

I'm pretty sure you know deep down tariffs are a bad idea, and you're just hoping won't be as bad as everyone says or Trump will just keep delaying them.

Actually I have always been a proponent of the use of tarifs, long before Trump became POTUS. Not exactly the way he is using them but I have always felt they should be used to level the playing field for our manufacturers

 

[Luce]

Both.

 

[Jredbaron96]

Actually I have always been a proponent of the use of tarifs, long before Trump became POTUS. Not exactly the way he is using them but I have always felt they should be used to level the playing field for our manufacturers

These tariffs Trump is proposing are not going to "level the playing field", they'll just make things cost more and make the economy decline.

 

[trouble13]

These tariffs Trump is proposing are not going to "level the playing field", they'll just make things cost more and make the economy decline.

I respect that many people think that. Time will tell. It is an open question and the devil will be in the details. Whether it succeeds or fails is on Trump

 

[The Hairy Fiddler]

I get peoples uneasiness because we are all in a wait n see holding pattern. It can be unnerving for many.

What i really want to address is your approach of stepping aside. I have been saying the very same thing for years. I'm not suggesting the opposition should not raise objections but generally speaking I think the party that loses should step aside and allow the Victor to give the people what they voted for. If they fail there will be a new election soon enough.

They don't because the sad truth is that the citizenry is not either party's top priority.

No, most people are NOT in a "wait and see holding pattern". Over 95% of economists know without any doubt how horrible Trump's tasiffs and subsequent trade wars will be. You need to quit buying what Fox News is selling. The market has tanked for good reason. and it will tank much, much more come 4-2.

It's time you come to the realization...you people elected a full-blown idiot.

 

[The Hairy Fiddler]

The same can be said about corporate taxes They are a regressive tax on the consumers.

I have not argued otherwise. I have been pointing out that corporate taxes also drive prices up for consumers.

You all arguing tariffs are bad because it's Trump doing it. Your argument is partisan not principled.

As I have illustrated, the left is very comfortable with regressive taxation when it serves their greed.

This has nothing to do with regressive taxation. NOTHING. If the article was partisan, then why is Rand Paul and many other conservative commentators ripping Trump for these tariffs? Not to mention the editorial board at the WSJ, who know a lot more about business economics than you do.

You are dead wrong and when the shit hits the fan shortly, I'll be back to remind you.

 

[BitterPill]

She's absolutely right. And she's beautiful too!

And she's married to a sixty-year-old!

That could be me.

MAGA.

 

[trouble13]

No, most people are NOT in a "wait and see holding pattern". Over 95% of economists know without any doubt how horrible Trump's tasiffs and subsequent trade wars will be. You need to quit buying what Fox News is selling. The market has tanked for good reason. and it will tank much, much more come 4-2.

It's time you come to the realization...you people elected a full-blown idiot.

This is temporary. The economy is already showing positive changes. Stop spreading fear.

 

[trouble13]

This has nothing to do with regressive taxation. NOTHING. If the article was partisan, then why is Rand Paul and many other conservative commentators ripping Trump for these tariffs? Not to mention the editorial board at the WSJ, who know a lot more about business economics than you do.

You are dead wrong and when the shit hits the fan shortly, I'll be back to remind you.

I'm not going anywhere. You know where to find me and the time comes for you to apologize for your fearmongering.