Why tax cuts don't create business growth.

LOL, it clearly has the quote of his in the post But I guess that's the pitfalls of choosing to ignore people.

 

Too bad you cant tell that to JFK and Reagan that proved you wrong. Their tax cut resulted in huge increase in taxes to the IRS.

This thread and others just like it shows that the far left knows NOTHING about economics.

 

What you obviously don't know about business expenses would fill several books. And basic math seems to be a skill you never acquired either...

 

Right. I don't care for this system. There should have been a quote box with his "name" in it and a note saying this person is ignored, as it does in some other specific cases. But instead it just omits the quote box altogether.

 

You seem to be repeating the party line. After the tax cuts of Reagan government revenues dropped until George "read my lips" Bush raised taxes. His son's tax cuts are what is causing the current outrageous national debt.

Kind of funny how conservatives keep telling me, a mathematician, that liberals don't understand math. If one does the math, the Republican line that tax cuts increase revenue is easily shown to be silliness.

 

Did you miss the news that at least half of the rich guys are liberals.

It is not about class envy. It is about the society we want. Apparently conservatives prefer a Samali type society.

 

If you don't like that extra money, Uncle Sam has a means of letting you donate to the Treasury. Knock yourself out!

 

The progressive tax system was put in place precisely to equalize society.

 

Lulz......................no, it wasn't. It's a matter of squeezing out money for the tax coffers from those who have any money left. You can't get blood from a turnip. 60% of this country supports the other 40%. End of story.

 

Correct

Incorrect. Increasing expenses not only reduces taxes but it reduces profit as well.

Incorrect. Increasing expenses to avoid taxes is always nuts because the expense costs more than the taxes that are avoided. Guitar players buy more guitars because they use them for different purposes in making music. That and they like them.

Cutting taxes just puts more money in my pocket with no increase in productivity.

All expenses are excluded from taxation for all businesses.

 

With a higher tax rate US based global companies move their financial headquarters overseas and cut tens if not hundreds of millions off of costs.

 

How does it equalize society?

 

If I pay less in taxes, thus get more money without extra effort, then where is my incentive to do more. The Republican nutjobbery of tax cuts increase business doubly does not work with incentives that do the opposite.

By the way good luck driving to work on a crumbling infrastructure.

 

And there it is. Lefties love them some "other people's money". Your incentive is to be a good little state supporting socialist. Put your money where your mouth is. Give till it hurts, and cleanse your soul. As for the rest of us, no thanks. Crumbling infrastructure? I don't know which state you live in. but we're just fine. I'll add there is no state income tax either.

 

Don't know what study you are referring to but you are dead wrong.

 

Too bad that the real world doesn't square with your indoctrination.

 

You miss the point. If a business invests a portion of its revenue on improvements, R+D, and whatnot, that revenue is not taxed. Thus, lowering taxes provides no indenture to do more.

After Reagan's tax cuts business did not grow as much as corporate raiders squeezed the blood out of small companies as they consolidated businesses into ever larger corporations. Lil Bush's tax cuts did the same. Look for something similar effect in the coming years as a result of the recent tax cuts.

 

Are you having a conversation with yourself?

 

So conservatives are into rewarding bad behaviour?

 

No it doesn't square with reality. Profits are taxed and then reinvested.

Now there are incentives to reinvest earnings such as accelerated depreciation but the amount if tax savings by reinvestment is only about 30-40% of the total spent over many years. And that only makes financial sense if you really need the expansion so you can have sufficient return on investment. Spending $10 to save $4 in taxes is not wise.

 

Apparently all you know about economics you've learned from right wing radio/television "economists".

 

This isn't even a challenge.

http://m.washingtonexaminer.com/nee...mic-growth-look-to-the-states/article/2638023

https://taxfoundation.org/what-evidence-taxes-and-growth

https://www.usnews.com/opinion/blog...-states-drive-economic-growth-and-create-jobs

Interestingly, that last article quotes a study co-authored by famed economist Art Laffer, and of the top ten states, all were headed by Republicans, while of the bottom ten, nine were headed by Democrats. So your contention isn't just wrong, it's already been disproved repeatedly. Low taxes spur economic growth, high taxes retard it.

 

Obviously. There's nothing but abyss across the table, you ran and then hid behind a rock.

 

Think you have that twisted thinking on this. Democrats want to raise taxes on corporations to produce more of the same.

 

In my company, reinvestment is always done pre-tax. Profit is my take home pay.

Could it be that you are assuming personal finances work like business finances?