To Haymarket regarding corporate tax liability : Amortization of capital expenditures, capital improvements, and green energy solutions.
These three things are heavily written into the tax codes for corporations. These three things are also increasingly called for when you tighten regulations on things like emissions, cleaner energy (read: solar panels), and having to remodel factories for new technologies.
So it shouldnt come as a suprise that the corporations like Boeing, oil pipelines, aerospace, and GE have lower tax liability, they are putting out a lot of capital outlay to stay competitve. In the case of GE they are particularly chummy with the current administration and are embarking on a lot of green energy projects that are partially subsidized as well as having generous write off opportunities.
In the case of companies like Apple and Microsoft, their primary capital is ideas, they dont retool their production as often as say Caterpillar or GM might.
Regarding the public sector unions, how much is the unfunded liability of the benefits package? That tells you how much taxpayers are putting in on top of regular salaries. THAT is the figure that we need to know and should be discussing---the difference between what the teachers put in and what is scheduled to be recieved.
I dont see anyone looking at this but Im betting the administrative overhead and paychecks for same are quite high as well in Wisconsin. If you want to cut somewhere, cut administrator paychecks and budgets, but you will hit more waste than you think with that tactic.
Anywho, resume entrenched positions.
The two sets of books are literally reconciled in the financial statements in a liability account called Deferred Tax Liability (which is the mythical tax that would be paid on the book profits, but is deferred to the end of time by continuing to create new tax losses). The footnotes to the financial statements include quite a few book/tax reconciliations. You should read some (the financial report of any public company will have this). They are really quite fascinating. Of course, the sophistication on how this is done provides very, very good income for accountants and lawyers, not to mention the Big Four accounting firms. They are all paid quite handsomely to ensure that Pepsi, Exxon-Mobil, GE, etc, never pay any tax. Meanwhile, small businesses do not have such luxuries and pay most of the corporate taxes.
So, corporations have incredible tools at their disposal (including tax accountants and tax attorneys) to shelter income. Of course, the better the accountant/lawyer base, the lower the effective tax rate on corporate income. Corporate effective tax rates have been falling for years, though the marginal rate has been constant. I will post a table later as soon as I can extract it from its source document.
This is just another example of the bifurcation of our economy.
Last edited by upsideguy; 03-04-11 at 08:23 AM.
If you want to talk about total debt, then you can't say that we robbed social security as it was the debt to social security that rose (the flip side being the social security had investments in US treasuries and was intact). Please be consistent in your argument.
Total debt, in and of itself, isn't the issue. Its the capacity to handle the debt that is the issue. This capacity is measured as debt to GDP. Debt is going to go up with income, just as you mature in your career, you are likely to make more money and buy a bigger house with a bigger mortgage.... but hopefully your overall financial health improves as that new mortgage mortgage payment comes at a time when you have higher income and more personal equity.... again, the measure is your ability to handle the debt.
BTW... you are either confusing debt with deficit or missed a decimal place as the debt is closer to 15.0T and the deficit (the amount projected to be added to the debt each year) about $1.5T.... and thank you for suggesting that a tax increase helped to slow the debt increase you speak about during the Clinton years...
Last edited by upsideguy; 03-04-11 at 08:40 AM.
Also spare me the hollow rhetoric about the third world countries as well. I own a home in the Philippines (Cavite SW of Manila) and have experience dealing with the hospital in metro Manila (MCM to be exact). The service I received was far superior to anything I have experienced in this country (though I admit the hospital was not as modern as in this country--but close). So when you start comparing privately run companies, like hospitals in third world countries to their American counterparts you best be careful. After all, how does it make you side look when a PRIVATE hospital in a third world country like the Philippines is every bit as good as our highly regulated hospitals in a modern country like our own? Should our hospitals not be light years better with all of their regulation and government involvement?
When we fail to beat third world countries in quality of health care, what do you attribute that to?
[QUOTE=And how do you explain the fact that Demark has one highest income tax rate in the world and yet enjoy one of the highest quality of life in the world?[QUOTE]
Measured by whom? While Denmark is a beautiful country, I would never rate it high in 'quality of life'. In fact, I cannot think of one European country I would like to live in, or own a home. Try playing a round of golf in Denmark, the courses are cow pastures and way over-priced.
Where is Thailand on the highest quality of life list? Now that is a country I would like to live...Outstanding golf courses, reasonably priced, easy to book a tee time and great weather.
always in the top three of the international happiness index
always in the top three places to visit by child predatorsWhere is Thailand on the highest quality of life list? Now that is a country I would like to live...Outstanding golf courses, reasonably priced, easy to book a tee time and great weather.
Oh - and I just got title to the Brooklyn Bridge if anyone wants to purchase it from me... or even lease it at pretty favorable terms.
There are two novels that can change a bookish fourteen-year old's life: The Lord of the Rings and Atlas Shrugged. One is a childish fantasy that often engenders a lifelong obsession with its unbelievable heroes, leading to an emotionally stunted, socially crippled adulthood, unable to deal with the real world. The other, of course, involves orcs.... John Rogers
From your link...
Second...Nationally, 47% of voters support the Governor and 42% support the unions.
43% believe that the public employee unions have too much influence on politics in Wisconsin while only 9% say they have too little influence. Forty-two percent (42%) say the public union influence is about right...