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Not much time to participate here these days, but I give you this (not seeing it discussed at a quick glance).
What say you the people of Apolyton, especially US-ians, given that this really only affects you?
Looking from far away, this looks like a very sensible plan, especially given the current tax quagmire you have to deal with on regular basis, it also addresses the gov revenue gap you have been having last decade and a half.
GOP corporate overlords are bound to be very unhappy with this move, it would remove a huge avenue for gaining unfair advantage by corporate backers via the tax code.
Ted Cruz - the corporate enemy - haven't seen that coming.
It would be kind of funny if the next elections become the selection between Cruz and Sanders.
Cruz’s campaign website describes the plan this way: “For businesses, the corporate income tax will be eliminated. It will be replaced by a simple Business Flat Tax at a single 16 percent rate. The current payroll tax system will be abolished, while maintaining full funding for Social Security and Medicare.” The plan includes a temporary 10 percent tax rate for overseas corporate profits that are repatriated into the United States.
Cruz imposes his 16 percent value-added tax on all business profits less capital investment. Unlike the current tax code, Cruz’s plan would not allow deductions for wages, operational expenses, interest, and the like: significant deductions that would now be eliminated.
Last October, Kyle Pomerleau and Michael Schuyler of the Tax Foundation published an analysis of the Cruz plan. “Its base,” they write, “is identical in economic terms to that of the credit-invoice VAT seen in many OECD countries.”[
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Kyle and Michael calculate that Cruz’s elimination of payroll taxes and corporate income taxes would reduce federal revenues by $12.7 trillion and $4.4 trillion, respectively, on both a static and dynamic basis (i.e., taking into account how taxes affect economic growth).
However, Cruz’s VAT would increase federal revenue by $27.5 trillion on a dynamic basis, and $25.4 trillion on a static basis: an enormous gusher of money.
Cruz imposes his 16 percent value-added tax on all business profits less capital investment. Unlike the current tax code, Cruz’s plan would not allow deductions for wages, operational expenses, interest, and the like: significant deductions that would now be eliminated.
Last October, Kyle Pomerleau and Michael Schuyler of the Tax Foundation published an analysis of the Cruz plan. “Its base,” they write, “is identical in economic terms to that of the credit-invoice VAT seen in many OECD countries.”[
.
Kyle and Michael calculate that Cruz’s elimination of payroll taxes and corporate income taxes would reduce federal revenues by $12.7 trillion and $4.4 trillion, respectively, on both a static and dynamic basis (i.e., taking into account how taxes affect economic growth).
However, Cruz’s VAT would increase federal revenue by $27.5 trillion on a dynamic basis, and $25.4 trillion on a static basis: an enormous gusher of money.
What say you the people of Apolyton, especially US-ians, given that this really only affects you?
Looking from far away, this looks like a very sensible plan, especially given the current tax quagmire you have to deal with on regular basis, it also addresses the gov revenue gap you have been having last decade and a half.
GOP corporate overlords are bound to be very unhappy with this move, it would remove a huge avenue for gaining unfair advantage by corporate backers via the tax code.
Ted Cruz - the corporate enemy - haven't seen that coming.
It would be kind of funny if the next elections become the selection between Cruz and Sanders.
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