cj#270> Yves re: Corp Tax Giveaways


Richard Moore

Date: Mon, 9 Oct 1995 00:00:06 -0700
Sender: LECLERC YVES <•••@••.•••>
Subject: Re: cj#269> Corp Tax Giveaways

Does anyone know how the corporate/private balance of taxation evolved in
the US over the last two decades? In Canada, official figures (dated
March 1994) show that where the total of corporate and private income taxes
were about even in the early 70s, the private income tax total today is
about three times the corporate!

So yes, we do pay more taxes (in Canada at least)... not because the govt
is a spendthrift, but because the "private sector" isn't paying its share
of public services!

And to those who say "it's all the same, the corporations will pass it on
to you anyway", I'll answer: Fine, then let the corporations pays *all*
the taxes and the citizens none, since the end result will be similar.
You'd have fewer sources to collect from and save a bundle of money in
salaries, form processing and the like.

How about it? And does anyone have comparable figures for the US?

Yves Leclerc          Dead-End Democracy? or open-ended government...
Montreal, Quebec



A few notes along these lines:  William Greider, in "Who Will Tell the
People?" reports that one of the major consequences of the Reagan era was
the "gutting of the tax codes" -- in particular, the drastic reductions in
corporate taxation.  I personally remember one of Regan's very first acts
being a ruling that gave an immediate $30 billion windfall to oil

Another thing: in all the campaign talk about restructuring tax burdens in
the last U.S. presidential election, which talked about rich, poor, and
middle class _individuals_, the issue of _corporate_ taxation was
conspicuously absent.

Those who say corporations "will pass it on to you anyway" must not believe
in the free market: they evidently think prices are completely capricious
and have no constraining forces, such as alternate suppliers.  They also
are ignoring the fact that these tax windfalls have resulted directly in
astronomical profit increases, not price decreases.