close

Privacy guaranteed - Your email is not shared with anyone.

Good for business: Low taxes, or stability?

Discussion in 'Political Issues' started by jknight8907, Apr 2, 2012.


  1. jknight8907

    jknight8907
    Expand Collapse

    Joined:
    Oct 12, 2007
    1,996
    0
    Location:
    Memphis TN (roughly)
    While reading a thread on a certain other forum (a '24-hour' one), an idea came to me. Which is more conducive to business expansion: having lower tax rates overall, or having a stable environment where, even if taxes are relatively high, you can be confident that whatever current laws and regulations that are in place now will continue to be static for the next, say, 10 years?

    As an example, and these numbers are simplistic and arbitrary fill-in-the-blanks, would you rather pay 15% tax on business profits, knowing that every year the tax code would/could change drastically, or pay 25% knowing that whatever deductions and tax shelters you took advantage of now would still be advantageous 10 years from now.
     

    Wanna kill these ads? We can help!
  2. certifiedfunds

    certifiedfunds
    Expand Collapse
    Tewwowist

    Joined:
    Apr 23, 2008
    51,669
    4,141
    Location:
    Houston
    Stability, hands down.
     

  3. mmncw

    mmncw
    Expand Collapse

    Joined:
    Mar 15, 2002
    29
    0
    Location:
    nc
    Either/or is a false premise as you'd end up with both.

    Kind of like if we were to go to the "Fair Tax" - it would only happen in addition to what exists, rather than in place of.
     
  4. series1811

    series1811
    Expand Collapse
    Enforcerator.
    CLM

    Joined:
    Apr 27, 2003
    11,385
    13
    Location:
    Retired, but not expired.
    Everyone, businesses, and individuals, need stability more than they need lower taxes.

    I used to live on a lot less than I make now, same as most people. I made it back then, and I would make it now, if I had time to adjust.

    I wish we could just get a flat tax rate. I know we won't because the same people who pay bribes/campaign contributions for special breaks now, would just pay bribes/campaign contributions to defeat any flat tax proposal.

    In the end, really big business doesn't get surprised that often, since they are usually the ones who are actually writing the tax code in the first place.

    Small businesses and individuals do have to wait and see before making major decisions.
     
  5. Brucev

    Brucev
    Expand Collapse

    Joined:
    Jul 19, 2009
    9,189
    5
    Stability and predictability are good for business. Taxes are not uniformly bad no more than low taxes are uniformly good. It is entirely dependent on what the people decide. It is for them to decide. If someone doesn't like the decision made, that is their problem. It is no different if the decision is to have low, moderate or high taxes.
     
  6. brickboy240

    brickboy240
    Expand Collapse

    Joined:
    Sep 25, 2007
    2,620
    0
    Location:
    Houston, TX, USA
    Stability usually does not come from a govt that has high tax rates. Usually, their tax rates are high and will go higher because they cannot stop spending money.

    I don't see how either of these choices are good ones. Sort of like a choice between airline food and hospital food.

    - brickboy240