Drudge Retort: The Other Side of the News
Tuesday, May 21, 2019

U.S. corporations are contributing the smallest share of federal tax revenue in a generation ... The data show that the burden is increasingly falling on individuals.

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We got into this mess because everyone wants a tax break. Taxes for individuals used to be extremely high so the people got mad about it and only voted people in who would lower it. Businesses saw this and said "Wait, you need to treat us like people" and wa-la, businesses are actually treated as people (which is still the most ridiculous legislation ever). So, businesses got their cuts and now the people are going nuts about wanting more since now corporations have the edge.

And, when the smoke clears, the government ends up with less and less money and people whine and complain about them not being able to provide public services adequately, efficiently, or cost-effective. This article is exactly why I've been saying we need tax hikes across the board for everyone. The bar really needs to be set higher than it is and the country should never go below that bar.

#1 | Posted by humtake at 2019-05-21 12:02 PM | Reply

That is a very reasonable post Humtake. I agree with you.

#2 | Posted by BruceBanner at 2019-05-21 12:50 PM | Reply

www.taxpolicycenter.org

There is a graph towards the bottom of the link that goes back further to illustrate where tax revenues came from.

If anything, this illustrates how small of a % business income taxes represents in the total.

not saying that's bad or good...but I suspect many here believed businesses paid a larger % than they really do.

#3 | Posted by eberly at 2019-05-21 12:54 PM | Reply

I certainly did. How interesting.

#4 | Posted by BruceBanner at 2019-05-21 01:35 PM | Reply

And at the same time they likely are extracting more than the average individual.

The US stopped being capitalist a long time ago.

#5 | Posted by jpw at 2019-05-21 01:36 PM | Reply

Where do you guys think corp money for taxes comes from? Does the corp god just ---- it out or does it come from the people that purchase their profuct. Use your head for something more than to keep your ears from slapping together.

#6 | Posted by Sniper at 2019-05-21 02:05 PM | Reply

Not sure what your point is snipper. It sounds like you would prefer the tax burden be shifted to corporations so people have more income to spend.

#7 | Posted by BruceBanner at 2019-05-21 02:53 PM | Reply

Where do you guys think corp money for taxes comes from? Does the corp god just ---- it out or does it come from the people that purchase their profuct.

#6 | POSTED BY SNIPER

And where do you think that "corp money" that doesn't go to taxes goes to? If they have a good year, do they just decide to reduce prices to "thank their customers"? Do they donate it to charity? Distribute it evenly to the population? Give it away in a lottery?

Of course not. That money goes to the asset owners (generally stockholders). THAT is who ends up shouldering the majority of the corporate tax burden. Not "the people that purchase their (sic) profuct."

I am always amazed at how absolutely ignorant Republicans are when it comes to anything related to economics or how businesses ACTUALLY work. That is what comes from thinking that education is "elitist".

#8 | Posted by gtbritishskull at 2019-05-21 03:55 PM | Reply | Newsworthy 2

#7 His point is if corporate rates are increased corporations will raise prices to cover the increases and the individual will ultimately pay that increase. Bottom line right now is we have record unemployment, increased wages and record federal tax revenues. The left is trying to spin anything they can to try and down play this economy but the numbers don't lie.

#9 | Posted by fishpaw at 2019-05-21 03:56 PM | Reply | Funny: 1

And where do you think that "corp money" that doesn't go to taxes goes to? If they have a good year, do they just decide to reduce prices to "thank their customers"? Do they donate it to charity? Distribute it evenly to the population? Give it away in a lottery?
Of course not. That money goes to the asset owners (generally stockholders). THAT is who ends up shouldering the majority of the corporate tax burden. Not "the people that purchase their (sic) profuct."
I am always amazed at how absolutely ignorant Republicans are when it comes to anything related to economics or how businesses ACTUALLY work. That is what comes from thinking that education is "elitist".

#8 | POSTED BY GTBRITISHSKULL AT 2019-05-21 03:55 PM | FLAG:

Thats the negative way to look at it and the positve way to look at is they keep their prices low and use the money to pay higher wages or expand or upgrade their plants. Some corps do it your way and some corps do it my way

#10 | Posted by fishpaw at 2019-05-21 03:59 PM | Reply

#7 His point is if corporate rates are increased corporations will raise prices to cover the increases and the individual will ultimately pay that increase.

And so it would logically follow that when the taxes are reduced for corporations those savings are passed onto the consumer right?

Except that is not what happens at all is it? I surmise that neither is true.

As usual snippy has no clue, no point and no evidence to back up his usual blathering.

#11 | Posted by donnerboy at 2019-05-21 05:13 PM | Reply

#6 Sniper and fishy fell for the big business spin that consumers (actually the business customers) pay corporate taxes. This is a ruse to convince idiots that businesses should not pay taxes.

1. Business taxes are based on profits, not sales. Cutting taxes on profits will not impact prices or wages for low margin business (most of them).
2. B2B business taxes will only indirectly impact consumer prices and only by much if there are high margins.

Finally, where do you think consumer spending comes from? When consumers pay more in taxes they have less to spend on businesses. So by your logic, businesses actually pay customer taxes, so we should eliminate wage taxes to give businesses more income.

The job of government is to protect the weak and operate collective services when marketplaces are too inefficient (like urgent/acute/population healthcare).

#12 | Posted by bored at 2019-05-21 08:23 PM | Reply

To do the job of government it needs income. User fees work in some cases, but collective services often should be paid for by income or asset taxes.
Business benefits a lot from government, so profitable ones should not get a free ride.

#13 | Posted by bored at 2019-05-21 08:26 PM | Reply | Newsworthy 1

Meanwhile Illegitimate President Bucket of ---- passed the biggest tax increase in decades.

#14 | Posted by truthhurts at 2019-05-21 08:29 PM | Reply

Where do you guys think corp money for taxes comes from? Does the corp god just ---- it out or does it come from the people that purchase their profuct. Use your head for something more than to keep your ears from slapping together.

#6 | Posted by Sniper at 2019-05-21 02:05 PM

We get it. Instead of saving for your retirement, you where busy guzzling Everclear, buying Ted Nugent tickets and jacking-up for '87 Chevy Blazer. A little pump to your high risk 401k effort at the end of your life ain't gonna be enough to cover your retirement.

#15 | Posted by SunTzuMeow at 2019-05-22 12:31 AM | Reply

Is it a K-5 Blazer? That might be worth something.

#16 | Posted by snoofy at 2019-05-22 01:38 AM | Reply

I suspect many here believed businesses paid a larger % than they really do.

#3 | POSTED BY EBERLY AT 2019-05-21 12:54 PM | REPLY

Most people don't understand that businesses are only taxed on their profits. If we really want to tax them like people we would need to tax them on revenue, not profits.

People think companies pay 26.9% of their income when in fact if they have a profit margin of 10% they are only paying 2.69% of their income BEFORE deductions

A minimum wage worker pays FICA non-refundable taxes on every dollar they earn

#17 | Posted by hatter5183 at 2019-05-22 09:41 AM | Reply | Newsworthy 1

So the argument from the right is that corporate taxes are passed on to consumers so corporations shouldn't be taxed.

Corporations use infrastructure more than individuals. Trucks are what wear down highways. One 9 ton truck going down the highway does 410 times as much damage to the road as an average car

streets.mn

They use more water, their waste water needs more treatment, they contribute more to landfills, They require police and fire protection.

So the question comes down to who SHOULD pay for the government resources consumed by a business?

OF COURSE THE CONSUMERS SHOULD

If a company makes widgets, the taxes are part of the cost of making that widget. If I don't buy a widget or use a widget why should MY taxes be used to cover the costs of making the widgets? If a widget needs aluminum the company has to buy the aluminum and that cost is included in the sale price. Should I be required to contribute aluminum too?

#18 | Posted by hatter5183 at 2019-05-22 09:52 AM | Reply

His point is if corporate rates are increased corporations will raise prices

--------.

That's the same argument that if taxes are cut, prices will go down or hiring and salaries will go up for workers which has been the same old lie from the GOP to rationalize the payoff to their donors and proven false time after time after time.

#19 | Posted by Nixon at 2019-05-22 11:19 AM | Reply

and wa-la,

It's "voila" you dunce.

So, businesses got their cuts and now the people are going nuts about wanting more since now corporations have the edge. And, when the smoke clears, the government ends up with less and less money

The government has had record receipts every year since 2013. What are you blathering about?

#20 | Posted by JOE at 2019-05-22 12:15 PM | Reply

I think people miss the difference between Personal Income Taxes and Business Taxes.

Business pays taxes on profits. Then the remainder heads to shareholders. Many of those shareholders are not in the US. Worse, with some tax loopholes, many large businesses can avoid paying taxes all together.

On the other hand, individuals pay taxes on ALL income with a few deductions maybe. Although again their are loopholes here but only for the super wealthy.

#21 | Posted by Sycophant at 2019-05-22 12:58 PM | Reply

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