Comment by bhouston
18 days ago
Everybody else should close these loopholes as well for both individuals and corporations.
The minimum corporate tax of 15% is one place to start:
18 days ago
Everybody else should close these loopholes as well for both individuals and corporations.
The minimum corporate tax of 15% is one place to start:
Well the USA isn't following it so it's dead. But also, there were loopholes making it meaningless. For example, here in Switzerland the government said they'd follow it but local governments could provide rebates to companies.
And why not? We don't need the extra revenue. Why should we raise taxes on local companies when we don't want the money? Just because other countries can't control their spending why do we have to raise our taxes? It's stupid.
To call it a loophole makes no sense to me.
Also, smarter policy would be like what Estonia does
- CIT should only be applicable when dividends are paid. So corporations can reinvest that money in the business and not be taxed on it.
- PIT on dividend income should be 0, since that amount has already been taxed(CIT) and the stock holder has paid his due share on that income as a owner of corporation.
>CIT should only be applicable when dividends are paid.
Or dividends should be taxed as normal income.
Dealing with capital gains tax is messier but not impossible.