...for any Democrats that may reluctantly read this blog:
Do you believe corporations really pay taxes, or do they pass the costs to consumers in the form of higher prices or lost jobs and economic opportunities?
If they are a public company, then they pass it on in the form of taking jobs away. Its all about maximizing profits for share holders. Not saying that its a bad thing really, just business 101. They pay their taxes, and then they either have to raise prices, or cut jobs to maintain profitability. I have been on the receiving end of that on a couple of occasions...
It came to mind after reading this critique of the HC reform bill. I'm amazed at how Dems either are too dim to comprehend this principle, or whether they just ignore it for political gain.
Here's a blurb from the article:
Most astounding of all is what this Congress is willing to do to struggling middle-class families. The bill would impose nearly $400 billion in new taxes and fees. Nearly 90% of that burden will be shouldered by those making $200,000 or less.
It might not appear that way at first, because the dollars are collected via a 40% tax on sales by insurers of “Cadillac” policies, fees on health insurers, drug companies and device manufacturers, and an assortment of odds and ends.
But the economics are clear. These costs will be passed on to consumers by either directly raising insurance premiums, or by fueling higher health-care costs that inevitably lead to higher premiums. Consumers will pay the excise tax on high-cost plans. The Joint Committee on Taxation indicates that 87% of the burden would fall on Americans making less than $200,000, and more than half on those earning under $100,000.
If they are a public company, then they pass it on in the form of taking jobs away. Its all about maximizing profits for share holders. Not saying that its a bad thing really, just business 101. They pay their taxes, and then they either have to raise prices, or cut jobs to maintain profitability. I have been on the receiving end of that on a couple of occasions...
ReplyDeleteOut of curiosity, why do you ask?
It came to mind after reading this critique of the HC reform bill. I'm amazed at how Dems either are too dim to comprehend this principle, or whether they just ignore it for political gain.
ReplyDeleteHere's a blurb from the article:
Most astounding of all is what this Congress is willing to do to struggling middle-class families. The bill would impose nearly $400 billion in new taxes and fees. Nearly 90% of that burden will be shouldered by those making $200,000 or less.
It might not appear that way at first, because the dollars are collected via a 40% tax on sales by insurers of “Cadillac” policies, fees on health insurers, drug companies and device manufacturers, and an assortment of odds and ends.
But the economics are clear. These costs will be passed on to consumers by either directly raising insurance premiums, or by fueling higher health-care costs that inevitably lead to higher premiums. Consumers will pay the excise tax on high-cost plans. The Joint Committee on Taxation indicates that 87% of the burden would fall on Americans making less than $200,000, and more than half on those earning under $100,000.