Does anyone disagree with what Rep. Ryan has to say in this video (HT: W.E. Heasley)?
46 seconds in Ryan nails it:
Every dollar that companies spend lobbying for a better tax deal, is a dollar they are not spending making a better product.
The graphic at 1:17 is telling. The U.S. ranks second behind Japan in combined federal, state and local corporate tax rate of 39.2%. Japan has been stagnant since the late 80s.
Most folks don’t understand that they pay corporate taxes. They see that as a tax on the wealthy.
But, most of us own corporations through our retirement and investment accounts. Here’s a simple way to estimate the amount of corporate taxes that are paid on your behalf each year.
Find the total value of your retirement and investment accounts. Multiply that by 2% and 4%. That’ll give you a rough ballpark low and high range of the corporate taxes that you pay.
So, someone with $250,000 in investments will pay between $5,000 and $10,000 in corporate taxes. This is a tax that most investors never realize they pay.
Add that to the income and payroll taxes that you pay directly (and are paid on your behalf by your employer) and you’ll get a better sense for how much total tax paid you paid.
A lower corporate tax rate will help everybody.
I’m a skeptic about most politicians, but I like what Ryan says here.