Tax Guru-Ker$tetter Letter

Friday, March 05, 2004

The third rail - Good overview of the Social Security house of cards by George Will.

DeMint calls for tax changes - If anyone needs a concise explanation of why many corporations have shifted operations out of the US, it's this:

America's corporate tax rate -- about 35 percent -- is the second-highest in the world, DeMint said. That makes it more expensive for U.S. companies to export products than it is for companies in other countries to export them, he said.

Our rulers think they can just raise taxes on businesses and they will just gladly pay them without making any changes in how they conduct their operations. The truth with businesses is the same as it is for everything else in life. When costs go up, management looks for less expensive alternatives. It's not rocket science; but such common sense evades our rulers who are driven to raise taxes and then are shocked when their targets take steps to avoid paying them.

- posted by Kerry M. Kerstetter, MBA~CPA~ATP~ATA @ 3/05/2004 10:50:00 AM Send this post: