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Thread: Now they wanna tax the world

  1. #1
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    Default Now they wanna tax the world

    Exclusive: Janet Yellen to call for global minimum tax rate

    Treasury Secretary Janet Yellen will reportedly call for a global minimum corporate tax rate to prevent U.S. companies from relocating offshore in response to the Biden administration's forthcoming tax hikes, Axios reported on Monday.

    The news outlet made clear that "by trying to convince other countries to impose a global minimum tax, Yellen is acknowledging the risks to the American economy if it acts alone in raising corporate rates."

    The administration has proposed initiating the largest tax hike in almost 30 years to pay for President Biden's more than $2 trillion American Jobs Act — a bill slated to fund America's "infrastructure" but that also finances major policy progressive policy initiatives such as climate research, green energy, and free education in addition to highways, bridges, and roads.

    The tax changes include raising the country's corporate tax rate from 21% to 28%, a move that conservatives and moderate congressional Democrats have argued could be devastating for the American middle class.

    In a speech to the Chicago Council on Global Affairs on Monday, Yellen is expected to push for all other industrialized nations to raise their corporate tax rates to a minimum standard, as well, to ensure economic "competitiveness" worldwide. However, she will reportedly argue that the tax rate minimum is for the main purpose of ensuring those foreign countries have enough revenue to maintain their own governments.

    "We are working with G20 nations to agree to a global minimum corporate tax rate that can stop the race to the bottom," she will state.

    During Donald Trump's presidency, the business-minded Republican slashed the U.S. rate from 35% — a global high — to 21%, arguing the previous rate put American companies at a global disadvantage and resulted in many of them moving their businesses abroad.

    According to the Tax Foundation, a conservative tax group, the worldwide average corporate tax rate is just under 24%.
    https://www.axios.com/janet-yellen-g...f5d8bd352.html

  2. #2
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    Hahahaha. Putin will have a field day with this and call for zero tax in Russia to pull all the business there.

  3. #3
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    What is the thought process here, companies will keep pricing flat and just pay more in taxes? Hello inflation!

  4. #4
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    Quote Originally Posted by bitesize View Post
    What is the thought process here, companies will keep pricing flat and just pay more in taxes? Hello inflation!
    Politicians sell tax hikes as cost to consumer staying the same but mean old business owner takes home less money.

    That ain't the way it works. Any tax increase gets immediately imbedded into the cost of goods and services. Taxes are an overhead cost factored in when setting price points. But they don't talk about that part or the loss of entry level jobs and move toward less man power and more automation.

  5. #5
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    Preach on doggie doc.

  6. #6
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    Quote Originally Posted by Glenn View Post
    Politicians sell tax hikes as cost to consumer staying the same but mean old business owner takes home less money.

    That ain't the way it works. Any tax increase gets immediately imbedded into the cost of goods and services. Taxes are an overhead cost factored in when setting price points. But they don't talk about that part or the loss of entry level jobs and move toward less man power and more automation.
    Agreed, this is a prime example highlighting the lack of real-world experience and practical thinking of many of our lawmakers

    ... and their constituents!!
    Last edited by bitesize; 04-05-2021 at 04:54 PM.

  7. #7
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    They gonna get that stimulus back one way or another
    "Eventually, all things merge into one, and a river runs through it. The river was cut by the world's great flood and runs over rocks from the basement of time. On some of the rocks are timeless raindrops. Under the rocks are the words, and some of the words are theirs.
    I am haunted by waters" Norman Maclean.

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