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CPT Jack Durish
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Edited >1 y ago
Taxes on corporate profits are among the most insane ever devised. They place American corporations at a disadvantage when competing with foreign competitors. They raise prices because consumers ultimately pay the tax. (So when you tally up the taxes you pay each year, don't forget to include the premium you pay for American goods and services). I know people love to vilify corporations, but corporations are us. We are the stockholders. Oh, you don't have a portfolio? How about a pension? Are you a member of a trade union? Pension funds and trade unions are among the largest stock holders. So when you're taxing corporations, you're reducing their profits both by the taxes themselves and by the lost business to cheaper competitors. (Better tally that into your annual tax payments). Personally, I'd be far happier if President Trump fought for 0 corporate taxes.
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Capt Retired
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>1 y
If a corporation has an expense they add a percentage for overhead and for profit. One I am familiar with worked like this. Expense times 1.07 for overhead x 1.08 for profit.

So 100 came out as 100*1.07*10.8 equals $ 115.56 added to the price.
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