Comments on: Shared sacrifice – except for CEOs http://blogs.reuters.com/great-debate/2013/01/08/shared-sacrifice-except-for-ceos/ Thu, 21 Jul 2016 07:57:19 +0000 hourly 1 http://wordpress.org/?v=4.2.5 By: Benny27 http://blogs.reuters.com/great-debate/2013/01/08/shared-sacrifice-except-for-ceos/#comment-70158 Fri, 18 Jan 2013 19:42:58 +0000 http://blogs.reuters.com/great-debate/?p=16846#comment-70158 CapnC, you are an ignoramus. PROFITS are taxed at 35%, not REVENUE, which is used to pay salaries…

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By: CaptnCrunch http://blogs.reuters.com/great-debate/2013/01/08/shared-sacrifice-except-for-ceos/#comment-69968 Sun, 13 Jan 2013 16:05:21 +0000 http://blogs.reuters.com/great-debate/?p=16846#comment-69968 Work with me here QT. IF a corporation holds enough profits to pay tax at the 35% rate in a given year THEN later pays out those post tax profits as taxed wages to employees, that is double taxation. The corporation paid taxes and the employee paid taxes on the same dollars.

I did read the article and my point is OF COURSE corporations spend down profits so they pay at the 15% or less rate, it would be ignorant to do otherwise. They do however pay LOTS of taxes on wages, equipment, fuel, and on and on.

It’s not a 1% plot, it’s how things work. What Matt was pointing out that I agree entirely with is certain sectors have been blessed with unfair advantage by our government and they game the system to all our detriment.

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By: QuietThinker http://blogs.reuters.com/great-debate/2013/01/08/shared-sacrifice-except-for-ceos/#comment-69953 Sat, 12 Jan 2013 14:09:37 +0000 http://blogs.reuters.com/great-debate/?p=16846#comment-69953 @CaptnCrunch
False Statement:
“Why would anyone pay 35% tax on every new profit dollar held in company, and then later dole it out to themselves and their employees to then pay another 15-35% in wage taxes? That’s double taxation friend.”
a) Wages are not profit to the corporation and therefore not taxed as corporate income. There is double taxation here (although if not for b) you could argue about double taxation of dividends).
b) Read the article – very, very few corporations pay 35%, the actual average corporate rate is much smaller – close to 0% for many of our largest corporations.

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By: Hult http://blogs.reuters.com/great-debate/2013/01/08/shared-sacrifice-except-for-ceos/#comment-69949 Sat, 12 Jan 2013 12:39:36 +0000 http://blogs.reuters.com/great-debate/?p=16846#comment-69949 Some of the comments regarding this piece reflect the underlying problem: voters and shareholders do not demand accountability and act on their own behalf. I agree with the comment that if voters would educate themselves (and stop blindly following the party line) they could start making an impact. Action, not complaining, brings change. Term limits? They’re called elections!

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By: QuietThinker http://blogs.reuters.com/great-debate/2013/01/08/shared-sacrifice-except-for-ceos/#comment-69938 Fri, 11 Jan 2013 15:26:20 +0000 http://blogs.reuters.com/great-debate/?p=16846#comment-69938 While the article is a good short article on corporate taxes in general, it really doesn’t say enough about what is in the title – overcompensated CEOs and the taxes they pay personally. This is because it omits entirely discussion of Social Security taxes, which cause the highest combined tax rates on income to be paid by workers, while the CEOs have such a small percentage of their absurd salaries touched by Social Security tax that it only appears on the first paycheck of the year. Subjecting all compensation – salaries, deferred compensation, stock options, carried interests, perks, etc. to this taxes and taking the cap off income subject to Social Security taxes is key to both fairness and putting Social Security on a firm foundation.

If you are like me, you certainly enjoy having a few months of salary free of Social Security tax, until you realize that you are just getting a few insignificant crumbs while the CEO is getting a feast nearly every day of the year – at the expense of the fiscal stability of the entire nation.

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By: CaptnCrunch http://blogs.reuters.com/great-debate/2013/01/08/shared-sacrifice-except-for-ceos/#comment-69917 Thu, 10 Jan 2013 13:23:08 +0000 http://blogs.reuters.com/great-debate/?p=16846#comment-69917 Interesting article Matt and there is truth in your words that certain sectors do receive special considerations that are neither fair nor conducive to a healthy national treasury.

However, I suspect that you’ve never run a business and therefore don’t really understand the mechanics of profit and loss and why a smart business owner pays as little corporate income tax as is legally possible while in fact paying huge amounts of wage, fuel, and other sundry peripheral taxes.

It’s not cheating to plan ahead for a given tax year and spend down as much pretax profit as possible so that the final bottom line stays at or below the 15% minimum corporate rate. The tools to throttle that final taxable profit figure are equipment purchases, capital expenditures, and wages and bonuses for owner and employees. All of which are taxable events.

I agree with you the system does get gamed and current tax code is ridiculously complicated but the linchpin of your argument that low corporate income tax remittance is some sort of evil 1% conspiracy is just wrong.

Why would anyone pay 35% tax on every new profit dollar held in company, and then later dole it out to themselves and their employees to then pay another 15-35% in wage taxes? That’s double taxation friend.

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By: Crash866 http://blogs.reuters.com/great-debate/2013/01/08/shared-sacrifice-except-for-ceos/#comment-69906 Wed, 09 Jan 2013 20:24:29 +0000 http://blogs.reuters.com/great-debate/?p=16846#comment-69906 Your are pointing the finger in the wrong direction. Just like a liberal. Blame someone else and act like a victim. How about holding our government responsible for the debt they created? Naw just vilify the corporations for this mess and then tell everyone they caused it and should pay for it.

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By: Crash866 http://blogs.reuters.com/great-debate/2013/01/08/shared-sacrifice-except-for-ceos/#comment-69905 Wed, 09 Jan 2013 20:21:38 +0000 http://blogs.reuters.com/great-debate/?p=16846#comment-69905 How about cutting spending? Are corporations responsible for the government speding itse;f into debt….

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By: brotherkenny4 http://blogs.reuters.com/great-debate/2013/01/08/shared-sacrifice-except-for-ceos/#comment-69903 Wed, 09 Jan 2013 19:35:08 +0000 http://blogs.reuters.com/great-debate/?p=16846#comment-69903 Why should I be anything but a criminal when it is obvious that our political system will never represent me. Certainly one might say I have a moral obligation, but the winners of the money war don’t believe in morality, although they say they do. It has to be only fear of punishment that would keep me on the side of legality. I believe most of america understands this. That is, the criminal who can gets away with the crime is a person to be envied. The honest person is just a slave who is not smart enough to get away with crime. So we have the honest slaves and the smart criminals. Americans love their smart criminals and hope some day to emulate them, it’s the real american dream.

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By: RealityMan http://blogs.reuters.com/great-debate/2013/01/08/shared-sacrifice-except-for-ceos/#comment-69902 Wed, 09 Jan 2013 18:54:57 +0000 http://blogs.reuters.com/great-debate/?p=16846#comment-69902 Money equals political power. The three branches of government act as restraints on each other. There is no such restraint for concentrations of money. Until there is, the USAs legislature and media will continue to serve as tools of the rich, and the rest of us, mere cattle.

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