The Truth about Corporate Taxes

Before i begin my, what i surely hope unneeded, lessen on Corporate Taxes, let me start with two quotes i recently read, that just caught my eye.

"A human group transforms itself into a crowd when it suddenly responds to a suggestion rather than to reasoning, to an image rather than to an idea, to an affirmation rather than to proof, to the repetition of a phrase rather than to arguments, to prestige rather than to competence."
- Jean-François Revel

"Evil flourishes when good men do nothing." - Edmund Burke

After a long self-debate about posting on this subject, I finally decided it would be decent thing to do. I am under the firm belief that all my readers (both of them) are extremely intelligent. But to those readers i implore to pass this type of information on to the less educated.

Lets take a look at how a business works. First most people go into business to make money. (that is what we typically call profit). In some cases people don't go into business to make money but to do good. (we typically call these Non-Profit Organizations) and although their main goal may not be to make money. they surely are not in it to lose money.

So that being out of the way, How does a business go about making money? In the simplest terms, they take more money in than they spend. Again in simple terms they provide a service or manufacture a product and charge a sum slightly(sometimes not so slightly) more than it costs to provide the service or manufacture the product.

What costs to manufacture a product or provide a service? there are the simple and easy answers(all of which are true) Labor, Material, and Facilities. These are the basic three, but there is one that most people tend to leave out. That last one is Fees and Taxes. I certainly hope you are not surprised. When a provider of services or manufacturer of products looks at how much it costs to do what they do, they add in the fees and taxes it costs them to do so. Am i saying what you think I am saying? Yes. Taxes get added into the cost of the products and services you buy every day.

So think about this when someone says they want to raise corporate taxes, or they want to charge a company for making too much profit. Corporations may get charged for taxes but they are certainly not the ones paying for them, they pass that(as well as all the other) expense on to you.

The question you have to ask yourself, and your elected officials. How does raising corporate taxes help the working people of America?

My hope is that, the continuous call to raise corporate taxes and fine large profits is merely an attempt at class warfare. Because if it is not that, I fear that those, calling for such ideas, truly believe this takes money from the corporate coffers, which only leads me to believe them to be, too ignorant to lead.