Everyone questioned what DJT meant by, "We don't win anymore," on the campaign trail. DJT has won again and so have working American people. Here's why.
The United States has had a much higher tax rate for businesses than Germany and most of Europe. Under the tax reform bill, the corporate rate in the U.S. will fall to 21 percent, lower than the estimated 28.2 percent effective rate in Germany and close to the European average of 20.9 percent.
Handelsblatt reports: “The tax competition will have a new dimension,” said Christoph Spengel, chairman of the corporate tax department at the University of Mannheim. Mr. Spengel, who is also a research associate at the Center for European Economic Research, and a group of tax experts at the university have done a detailed comparison of the two countries’ tax systems and published a report under the heading, “Germany loses out in US tax reform.”
Clemens Fuest, who heads the Ifo economic think tank, also said he believed German business would suffer. “Investments and jobs will migrate to the US,” he said. The potential capital influx could be as high as $42.29 billion, or 39 billion euros, according to Handlesblatt.
Gavin Ekins, a research economist at the Tax Foundation in Washington, argued that it is not only the tax rate that will make the US more attractive. He told Handelsblatt Global that in figuring out their “service cost,” a metric that measures the cost of capital, companies also have to consider local labor costs, regulatory burdens, and things like energy prices and the cost of land. The US has the advantage in almost every category, he noted, but until now firms were deterred by the high corporate tax.
“Now you get a windfall for having capital in the US, so that causes investors to invest,” Mr. Ekins says. The change in the capital investment rules gives US firms “a tremendous advantage,” he said. “It’s a pro-capital formation tax bill and this is why other countries are so wary about what the investment landscape will look like.”
Using direct investment figures from the period 2008-2012, the German specialists calculated that the value of German foreign direct investment in the US could rise by €39 billion with the tax reform. It said US direct investment in Germany would also rise, but by a much smaller amount: €6.3 billion. Handlesblatt’s reporting highlights the shallowness of much of the U.S. media’s coverage of the tax bill, which has focused on claims that U.S. corporations are likely to use much of the windfall from tax cuts to pay dividends and buy back shares.
“There were mothers who took this [Rodney King LA riots] as an opportunity to take some milk, to take some bread, to take some shoes ... They are not crooks.”
This liberal would be about socializing … uh, umm. … Would be about, basically, taking over, and the government running all of your companies.
DJT won what? All he did was loot the treasury and give money away. Easily done. Who doesn't like free money? But that's a stupid reason to support someone who is incompetent on economic matters. No wonder this idiot filed bankruptcy six times and has failed at every attempt to start a business.
DJT won what? All he did was loot the treasury and give money away. Easily done. Who doesn't like free money?
If investors are attracted to US markets how is that not good for America? How are we making more money with higher corporate tax rates if all these taxes do is drive away money to be invested in other countries?
Corporations aren't going to bring their money back to America to pay a higher corporate tax rate out of a patriotic duty. This includes leftist like Zuckerberg. Corporations and small businessmen like you once were could still pay a higher corporate tax rate if they wanted to do so, but I've yet to see you do that either. In fact I find it far more likely you would take your money south of the border where your heart is.
“There were mothers who took this [Rodney King LA riots] as an opportunity to take some milk, to take some bread, to take some shoes ... They are not crooks.”
This liberal would be about socializing … uh, umm. … Would be about, basically, taking over, and the government running all of your companies.
Lower taxes on corporations has never translated to them "bringing money back to the country." Never.
This is just another myth conjured up by rich people who want to rationalize why its OK to keep cutting their taxes more and more. Only idiots like you believe it. General Electric pays zero taxes, so what will it take to bring them back to the USA?
It is worth mentioning that lowering taxes on the uber wealthy was not something Donald Trump campaigned on. So when his sycophants insist this is proof of him keeping his campaign promises, they're only demonstrating their ignorance of what he actually promised. The only reason I remembered this was because it was the ONLY thing Trump ever said that I agreed with, and so it stuck with me through the election. But after he got elected he turned out to be a partisan hack who bends over for whatever Congress passes. Here are his pre-election comments on the subject:
"The hedge fund people make a lot of money and they pay very little tax... You've seen my statements. I do very well. I don't mind paying a little more in taxes. The middle class is getting clobbered in this country" - August 28, 2015
"I have no illusions. I don't think that's going to be the final plan. Because they are going to come to me, including the Democrats and everybody else, they're going to come to me. They're going to want to negotiate. But that's a floor. That's where we're starting. … The rich (are) probably going to end up paying more. And business might have to pay a little bit more." - Meet the Press, May 8, 2016
"Well, they may go up on high-income people, based on my proposal. In other words, at the proposal level, not at the — where they are now level." - Wall Street Journal interview May 10, 2016
So even in Trump's political "success" he turns out to be proving himself a liar and hypocrite again.
Every single day, I'm amazed how many people have swallowed the plutocrats' propaganda. Polling suggests a good third of Americans approve of the tax bill. That's astounding to me.
That's quite a cult you've got there, GOP.
God belief is for people who don't want to live life on the universe's terms.
It's not just workers who get to keep more of their paychecks. When you do the math on this, the government actually takes in more in taxes when you grow the economy in this way. The IRS collecting more money is not something I ever wanted but that's what this kind of policy causes as well. That's right, more money available for the hustlers on welfare thanks to economic growth.
I've still yet to see any liberals pledge to pay at the old tax rate. Why wouldn't they do this if this was really going to kill so many poor people? As Dan Bongino said, cut the check and show us you have the principle to practice what you preach. Where are the Hollywood elites or Warren Buffet now?
“There were mothers who took this [Rodney King LA riots] as an opportunity to take some milk, to take some bread, to take some shoes ... They are not crooks.”
This liberal would be about socializing … uh, umm. … Would be about, basically, taking over, and the government running all of your companies.
It's also worth considering that the efforts to dynamic score the tax bill couldn't take into account the rushed process that likely left a bill containing many loopholes, both accidental and intentionally added by lobbyists that aren't fully appreciated, but will probably be exploited in a significant way.